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Suppose That You Know a Good Is a Normal Good

Question 3

Multiple Choice

Suppose that you know a good is a normal good for a consumer.Which of the following can you then conclude to be true:


A) The own-price elasticity of demand is less than -1.
B) The income elasticity of demand is greater than 0.
C) The own-price elasticity of demand is greater than -1.
D) The income elasticity of demand is less than 0.
E) Both (a) and (b) .
F) Both (a) and (d) .
G) Both (b) and (c) .
H) None of the above.

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