Multiple Choice
Which of the following tends to be true of the income elasticity of demand for food?
A) At low levels of income, it tends to be fairly high; but as the level of income rises, it tends to fall.
B) It tends to be well above unity only at high levels of income.
C) It is usually zero, since we can only eat so much.
D) It tends to be well below unity only at low levels of income.
E) It tends to remain fairly constant at all levels of income.
Correct Answer:

Verified
Correct Answer:
Verified
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