Question
In view of the fact that kerosene is an inferior good in India, what is/are its implication(s)?
- As households get richer, they consume less kerosene.
- Over time there is a decline in quality of kerosene.
- Government needs to stop subsidies on kerosene.
Answer: Option C
Answer: (c)Generally Kerosene is used as fuel by the poor, as they get prosperity, they use little of this fuel.
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Answer: (c)Generally Kerosene is used as fuel by the poor, as they get prosperity, they use little of this fuel.
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