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musickatia [10]
3 years ago
9

Income elasticity measures the:____.

Business
1 answer:
larisa [96]3 years ago
8 0

Answer:

C. Responsiveness of quantity demanded to a percentage change in income.

Explanation:

Income elasticity is defined as the responsiveness of the quantity of a good demanded by an individual as his income changes, all other factors being constant.

Mathematically it is calculated as percentage change in quantity demanded divided by percentage change in income.

Income elasticity is used to find out if a good is a necessity or a luxury good.

The demand for goods that are a necessity does not change with a change in income.

However demand for a luxury good increases as income increases and vice versa

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The check notes that Hope's retirement contribution is not included in her federal taxable income.

This means that the contribution is paid pre-tax and will not be liable for federal income taxes. She will most probably pay taxes on the retirement fund when she withdraws from it.

Find out more on retirement contributions at brainly.com/question/6806179.

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2 years ago
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Answer:

Option "B" is the correct answer to the following statement.

Explanation:

The price elasticity of demand determines the flexibility of the volume needed to adjust the price.

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3 years ago
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3 years ago
Consider the following statements, and indicate which variable is an independent variable and which variable is a dependent vari
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