A negative income elasticity of demand for a commodity indicates that as income falls, the amount of the commodity purchased

Related MCQs

• If the income elasticity of demand for a commodity is found to be 0.4, then the commodity concerned is
• If the quantity demanded remains unchanged as the price of the commodity falls, the coefficient of price elasticity of demand is
• If the income elasticity of demand is greater than one, then the commodity is
• When the price of the substitute commodity of X falls, the demand for X
• Relation between price of a commodity and demand for another commodity is measured by
• A fall in the price of the commodity whose demand curve is a rectangular hyperbola causes total expenditure on the commodity
• An increase in the price of the commodity when demand is inelastic causes the total expenditure of consumers of the commodity to
• When demand curve is rectangular hyperbola, the value of price elasticity of demand will be
• When an individual’s income falls, when everything else remains the same, his demand for inferior goods
• For necessary goods, the income elasticity of demand