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273

Q:

The demand for an inferior good falls when

  • 1
    price increases
  • 2
    income increases
  • 3
    the price decreases
  • 4
    the price decreases
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Answer : 2. "income increases"
Explanation :

In economics, the demand for inferior goods decreases as income increases or the economy improves. When this happens, consumers will be more willing to spend on more costly substitutes.

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