A demand which is positively related to price is true of?
ECONOMICS
JAMB 1994
A demand which is positively related to price is true of?
- A. normal goods
- B. giffen goods
- C. ostentatious goods
- D. capital goods
Correct Answer: A. normal goods
Explanation
In economics, normal goods are any goods for which demand increases when income increases, and falls when income decreases but price remains constant, i.e. with a positive income elasticity of demand.
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