A. an inferior good
B. a normal good
C. a complementary good
D. a substitute good
Related Mcqs:
- Coffee requires hot and moist climate and grows best on slopes which of the following countries is leading in coffee production?
A. Indonesia
B. India
C. Brazil
D. None of these - Coffee requires hot and moist climate and grows best on slopes which of the following countries is leading in coffee production ?
A. Indonesia
B. India
C. Brazil
D. None of these - In food demand growth equation D = Φ + a E, a is the income elasticity of demand for food E is the per capita income growth and Φ is ?
A. Poverty rates
B. food security index
C. change in the quantity of food demanded per capita
D. population growth - An increase in consumer income will increase demand for a _________ but decrease demand for a?
A. substitute good, inferior good
B. normal good inferior good
C. inferior good normal good
D. normal good, complementary good - If consumers always spend 15 percent of their income on food. then the income elasticity of demand for food is ?
A. 1.50
B. 1.15
C. none of these
D. 0.15
E. 1.00 - The World Bank’s GNP per capita classification for low income middle income and high income countries respectively is ?
A. less than $900, $900-$9000 and more than $9000
B. less than $5000, $5000-$15000 and more than $15000
C. less than $100, $100-$1000 and more than $1000
D. less than $5000, $5000-$150000 and more than $150000 - A tax for which high income taxpayers pay a smaller fraction of their income than do low income taxpayers is known as ?
A. a proportional tax
B. a regressive tax
C. an equitable tax
D. a progressive tax - If the income tax rate changes from 30% to 40% on income over Rs30,000 and a person’s income is Rs 31,000 then her marginal tax rate is ?
A. 30%
B. 10%
C. 70%
D. 40% - If your income doubles and the prices of the goods you buy double then your demand for these goods will likely?
A. increase
B. not change
C. decrease
D. shift - The income elasticity is +2 and income increases by 20% sales were 5000 units, what will they be now ?
A. 3000
B. 7000
C. 5500
D. 4500
