Economics (AS & A Level) · May / June 2025 · Paper 12 · Question 7
9708Price elasticity, income elasticity and cross elasticity of demand
When can a product be said to have a negative income elasticity of demand?
- AWhen it is a luxury good.
- BWhen it is a necessity good.
- CWhen it is a normal good.
- DWhen it is an inferior good.
As printed in the paper
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Correct answer: D. When it is an inferior good.
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