Income Elasticity of Demand Measures the Extent to Which

Multiple Choice

Income elasticity of demand measures the extent to which

A) the price of a good changes when there is a change in income.
B) the quantity demanded of a good changes when income changes.
C) real household income changes when there is a change in the price of a good.
D) one household's income changes when there is a change in the income of another household.
E) quantity demanded changes when there is a change in price.