Economics Online Statistics Home Definitions Videos Quizzes Questions

Inferior good

News


Gender pay gap

80% of UK companies and public sectors organisations pay women less than men.

Read more

Inferior good - definition

An inferior good is a good that people demand less of when their income rises (or more of when their income falls). Inferior goods have a negative income elasticity of demand.



Inferior goods can be contrasted with 'normal' goods which have a positive income elasticity of demand.

Inferior and normal goods can be illustrated by 'Engel curves', after 19th century German statistician, Ernst Engel.

Inferior goods


WTO rules

What exactly is the 'most favoured nation' rule?

Read more
Read more
Model agencies collude to fix rates

Regulators find leading model agencies guilty of price fixing.

Read more
Read more
Read more
Read more
Customs unions

Costs and benefits of customs unions.

Read more
New materials

Multiple choice papers for Paper Three.

Read more
Savings ratio

Savings ratio falls to lowest level on record.

Read more