Question

If a buyer's démand for chicken thighs decreases as her income increases, chicken thighs, for her, are good. (a) Normal good (b) Inferior (c) Luxury good d) Complementary good O Suppose the demand for newspapers goes up when the price of coffee goes down. We can say that these two goods are (a) Complements (b) Substitutes (c) Normal goods (d) Perfect substitutes In response to news reports that faking daily aspirin can reduce a person's isk of a heart attack,there will most likely be a(n) (a) Decrease in the demand for aspirin (b) Decrease in the quantity demanded of aspirin (c) Increase in the demand for aspirin (d) Increase in the quantity demanded of aspirin

Answer 1

Answer: 1. inferior goods

2. complementary goods

3. increase in the demand

Explanation: 1. In simple words, inferior goods refers refers to those goods the price and quantity demand for which have a negative relationship. These are usually low quality goods.

2. Complementary goods refers to the goods which are used jointly. The price and demand for complementary goods have negative relationship.

3. When the demand for a good increases due to other factors than price than such increase is called increase in demand and not quantity demanded.