Inferior Good: Decoding the Economics of Everyday Choices

What is Inferior Good

In economics, an inferior good is a good whose demand decreases when consumer income rises, unlike normal goods, for which the opposite is observed. Inferiority, in this sense, is an observable fact relating to affordability rather than a statement about the quality of the good. There are many examples of inferior goods, including cheap cars, public transit options, payday lending, and inexpensive food. The shift in consumer demand for an inferior good can be explained by two natural economic phenomena: the substitution effect and the income effect.

How you will benefit

(I) Insights, and validations about the following topics:

Chapter 1: Inferior good

Chapter 2: Supply and demand

Chapter 3: Elasticity (economics)

Chapter 4: Price elasticity of demand

Chapter 5: Consumer choice

Chapter 6: Giffen good

Chapter 7: Normal good

Chapter 8: Veblen good

Chapter 9: Substitute good

Chapter 10: Income-consumption curve

Chapter 11: Substitution effect

Chapter 12: Law of demand

Chapter 13: Complementary good

Chapter 14: Luxury goods

Chapter 15: Neutral good

Chapter 16: Demand curve

Chapter 17: Utility maximization problem

Chapter 18: Slutsky equation

Chapter 19: Wealth effect

Chapter 20: Hicksian demand function

Chapter 21: Demand

(II) Answering the public top questions about inferior good.

(III) Real world examples for the usage of inferior good in many fields.

Who this book is for

Professionals, undergraduate and graduate students, enthusiasts, hobbyists, and those who want to go beyond basic knowledge or information for any kind of Inferior Good.