apter rted: Sep 29 at 1:05am uiz Instructions u will have 3 attempts at this qui
ID: 1143018 • Letter: A
Question
apter rted: Sep 29 at 1:05am uiz Instructions u will have 3 attempts at this quiz. Your score will be the average of your attempts; if you only take the quiz on ice, the average will be calculated using only those attempts. he day after this quiz is due, you will be able to see the correct answers. 1 pts D Question 7 If we discovered that the income elasticity of demand for Red Robin was IED mean? 2, what would that O none of these Red Robin is an inferior good O Red Robin is a normal good Red Robin has an inelastic demand Red Robin's TR is declining . Previous Next Quiz saved at 1:13am Submit Quiz F3 F4 F5 FB F7Explanation / Answer
The correct answer is
(b) Red Robin is an Inferior good
The income elasticity will be negative for inferior good, which is also known as Giffen goods. It is type of income elasticity where the demand for the product decreases with response to an increase in the consumer’s income. Income elasticity is negative means there is an inverse relationship between demand and income. This will only happen in case of inferior goods.
In case of normal goods it will be positive.
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