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Suppose Good X Has a Positive Income Elasticity of Demand

Question 68

Multiple Choice

Suppose good X has a positive income elasticity of demand.This implies that good X could be (i) a normal good.
(ii) a necessity.
(iii) an inferior good.
(iv)
A luxury.


A) (i) only
B) (i) and (ii) only
C) (i) ,(ii) ,and (iv) only
D) (iii) only

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