Individual consumer demand declines for inferior goods as personal income increases because consumers replace them with more

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Individual consumer demand declines for inferior goods as personal income increases because consumers replace them with more desirable alternatives. Is an inverse relation between demand and national income likely for such products?

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Managerial Economics

ISBN: 978-0324588866

12th edition

Authors: Mark Hirschey

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Question Posted: Feb 13, 2015 09:48 AM

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Individual consumer demand declines for inferior goods as personal income increases because consumers replace them with more

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No not usually Theoretically it is plausible that the aggregate demand for some goods and services might be countercyclical actually rising during a business recession and falling during an economic b...View the full answer

Managerial Economics

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