wiz-icon
MyQuestionIcon
MyQuestionIcon
1
You visited us 1 times! Enjoying our articles? Unlock Full Access!
Question

If the price of inferior goods falls, the quantity demanded for them _______ .

A
increases
No worries! We‘ve got your back. Try BYJU‘S free classes today!
B
decreases
Right on! Give the BNAT exam to get a 100% scholarship for BYJUS courses
C
remain constant
No worries! We‘ve got your back. Try BYJU‘S free classes today!
D
becomes zero
No worries! We‘ve got your back. Try BYJU‘S free classes today!
Open in App
Solution

The correct option is B decreases
Inferior goods are the goods whose demand falls when consumer's real income rises and whose demand rises when consumer's real income falls. Hence, when the price of the inferior goods falls, the quantity demanded for them decreases.

flag
Suggest Corrections
thumbs-up
0
Join BYJU'S Learning Program
similar_icon
Related Videos
thumbnail
lock
Revenue budget
ECONOMICS
Watch in App
Join BYJU'S Learning Program
CrossIcon