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explain inferior good has a positive/negative PED

explain inferior good has a positive/negative PED

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Answer #1

PED - Price Elasticity of Demand.

when you actually consider price elasticity of demand it is always negative irrespective of whether it is normal good or inferior good because it is in accordance with the law of demand and that is the reason why you have to understand the price elasticity of demand is negative for inferior good but when you consider the case of income elasticity of demand you can understand that for inferior good it is negative which means increase in income might decrease the demand of the good.

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