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WAEC Economics 2015 Objective — Question 13

Question 13 of 50 from the West African Examinations Council (WAEC) Economics 2015 Objective paper, with the correct answer and a full explanation.

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If the price of a commodity Z falls and a consumer buys less of it, then commodity Z is a

  • A. necessity
  • B. ostentation good
  • C. Giffen goodCorrect
  • D. normal good

Explanation

A Giffen good is a special inferior good where quantity demanded falls as price falls (contrary to the normal law of demand).

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