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      Question

      The demand curve for a giffen good

      is
      A Upward rising Correct Answer Incorrect Answer
      B Downward falling Correct Answer Incorrect Answer
      C Parallel to quantity axis Correct Answer Incorrect Answer
      D Parallel to price axis Correct Answer Incorrect Answer
      E None of these Correct Answer Incorrect Answer

      Solution

      For a giffen good, demand increases as the price increases and vice versa (Price effect is positive)

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