This article is about Income Elasticity of Demand (YED). Income Elasticity of Demand (YED) measures how a change in income affects quantity demanded.
Posts tagged as “Inferior Goods”
With the demand for necessities and luxury products falling during economic recession, it is important for managers to consider ways to reduce business costs.
An economic recession has serious consequences for most businesses and the whole economy. A recession is a period of six months or more of declining GDP.
Different producers should adopt a different business strategy during economic growth, and a different business strategy during economic recession.