(1) Income Elasticity of Demand
Income Elasticity, Normal Good, Inferior Good
This discusses the other types of demand elasticity. Particular attention is given to the Income Elasticity of Demand, and the concept of normal and inferior goods. The two pieces of information that can be extracted from an income elasticity value are emphasized.
Crane, Steven E., "(1) Income Elasticity of Demand" (2011). Principles of Microeconomics. Paper 67.
Ability to distinguish and explain the meaning of an income elasticity of demand. Ability to calculate and interpret income elasticity values.
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