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    4. Agri economics
    5. Income effect is stronger than substitution effect for?  

    Question

    Income effect is stronger than substitution effect

    for?  
    A Inferior Goods Correct Answer Incorrect Answer
    B Giffen Goods Correct Answer Incorrect Answer
    C Normal Goods Correct Answer Incorrect Answer
    D None Correct Answer Incorrect Answer

    Solution

    A Giffen good is a low-income, non-luxury product for which demand increases as the price increases and vice versa.

    Practice Next
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    Relevant for Exams:

    • IFFCO AGT
    • IFFCO AGT

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