The Demand Curve for a Good with an Income Elasticity

Multiple Choice

The demand curve for a good with an income elasticity of less than one

A) must be upward sloping.
B) must be downward sloping.
C) indicates a normal good.
D) will be upward sloping only if the substitution effect outweighs the income effect.
E) will be upward sloping only if the income effect outweighs the substitution effect.