Question on: WAEC Economics - 2015
which of the following is not a reason for abnormal demand
A
price of the commodity
B
goods of ostentation
C
giffen goods
D
rare commodity
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Correct Option: C
An uncommonly high product demand that is outside the normal parameters established by the management policy is called anAbnormal Demand.
A Giffen good, in economic theory, is a good that is in greater demand as its price increases. For example, if the price of an essential food staple, such as rice, rises it may mean that consumers have less money to buy more expensive foods, so they will actually be forced to buy more rice.
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