Focusing on YED, please explain the type of Goods?

Normal good: 1 or greater than 1, as YED increases, QD for a good increases too.

Superior/ Luxury good: Also a normal good: it makes up a large proportion of consumption e.g. a new car. (Scarce to  buy/ high price)

Inferior Good: Less than 1. As YED rises, QD falls as the consumer has more money to spend on ''better'' alternamtives. E.g. Macdonalds is an inferior good.

VL
Answered by Victoria L. Economics tutor

2980 Views

See similar Economics A Level tutors

Related Economics A Level answers

All answers ▸

Evaluate the impact of the increase in the number of public sector employees on the UK economy (12)


Evaluate the case for the introduction of subsidies for agricultural produce. (15 marks)


Define a firm's shutdown point, and explain it intuitively using an example


Using a demand and supply diagram, comment on the likely impact on the market for new houses of relaxing planning regulations? (6)


We're here to help

contact us iconContact ustelephone icon+44 (0) 203 773 6020
Facebook logoInstagram logoLinkedIn logo

MyTutor is part of the IXL family of brands:

© 2026 by IXL Learning