Answer:
Necessity Goods : Income Inelastic (< 1)
Luxury Goods : Income Elasticity ( > 1)
Explanation:
Elasticity is responsiveness of demand change to price change . Formula : - % change in demand / % change income
Normal goods have positive income elasticity, i.e. demand increase with income rise & decrease with income rise .
Necessity good's demand responds less to income change & is income inelastic ( < 1 ), % change in demand < % change in price .
Eg : Medicines
Luxury good's demand is more responsive to income change & is income elastic ( > 1) , % change in demand > % change in price .
Eg : Luxury Cars
Answer:
True
Explanation:
In case of Freedonia and Desonia, they specialize in food products that are specific to their region and provide a high quality good. Also, they have a comparable advantage which means that they produce goods at a lower cost as well. Therefore, they would not be able to consume at the after-trade consumption bundles as they will not be trading their goods with other products and services that come in as part of the trade bundle.
Answer:
C
Explanation:
Sociology is the study of human social relationships and institutions. Unifying the study of these diverse subjects of study is sociology's purpose of understanding how human action and consciousness both shape and are shaped by surrounding cultural and social structures.
Answer:
Capitalism is an economic system based on the private ownership of the means of production and their operation for profit. Characteristics central to capitalism include private property, capital accumulation, wage labor, voluntary exchange, a price system and competitive markets. I hope this helps!!!!!! :)
Explanation:
Answer:
It should be A. I got that right
Explanation:
