Income Elasticity %△Qx Ox, M 00△M normal good Inferior good Michael R Baye, Managerial Economics and Business Strategy, 3e. CThe McGraw-Hill Companies, Inc, 1999Michael R. Baye, Managerial Economics and Business Strategy, 3e. ©The McGraw-Hill Companies, Inc. , 1999 Income Elasticity + Normal Good - Inferior Good M Q E d X QX M   = % %