Question by wawababa: Can a consumer have a perfectly inelastic income elasticity for every good he consume?
Can a consumer have a perfectly inelastic income elasticity for every good he consume? This question really confuses me. Need help, Please!
Best answer:
Answer by crwlnjeep
no! an perfectly inelastic income elasticity means that as income changes the consumer would purchase the same amount of each good. so if the consumers income falls they would be forced to consume less of some or all goods
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