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

3159 Views

See similar Economics A Level tutors

Related Economics A Level answers

All answers ▸

What is the best method of structuring an Economics Essay


With the help of a diagram, explain why a trade-off between price stability and low unemployment might occur. (9 marks)


Explain a constraint to economic development and offer a policy prescription


What is a balance of payments deficit and why might this be damaging to the economy?


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