You lose your job and, as a result, you buy more frozen pizzas. For you, frozen pizza are a (n) Question 31 options: a) luxury good. b) inferior good. c) normal good. d) complementary good.

Question

Business

Guest

7 September, 23:31

You lose your job and, as a result, you buy more frozen pizzas. For you, frozen pizza are a (n) Question 31 options: a) luxury good. b) inferior good. c) normal good. d) complementary good.

+5

Answers (1)

Know the Answer?

Keyon Fletcher · Answer 1

You lose your job and, as a result, you buy more frozen pizzas. For you, frozen pizza are an "inferior good".

Answer: Option B

Explanation:

In economics a good whose demand falls when consumer income increases or demand increases when buyer income falls is known as "an inferior good". In this sense, inferiority is an empirical fact concerning affordability, instead of a statement on the performance of the good. As a rule, these products are inexpensive and sufficiently serve their purpose, but as more expensive alternatives become available that provide more enjoyment (or at less variety), the use of the lesser goods decreases.