Goods which are paradoxical to the law of demand are

giffen goods
substitute goods
complementary goods
None of the above

The correct answer is A. Giffen goods.

Giffen goods are a type of good that is paradoxically inversely related to its price. In other words, when the price of a Giffen good increases, the demand for that good also increases. This is because Giffen goods are typically necessities that make up a large portion of a consumer’s budget. When the price of a Giffen good increases, consumers have less money to spend on other goods, so they will buy more of the Giffen good in order to satisfy their basic needs.

Substitute goods are goods that can be used in place of each other. For example, coffee and tea are substitute goods. If the price of coffee increases, consumers may switch to drinking tea instead.

Complementary goods are goods that are used together. For example, cars and gasoline are complementary goods. If the price of cars increases, consumers may buy fewer cars, which will also reduce the demand for gasoline.

None of the above options are paradoxical to the law of demand. The law of demand states that, all other things being equal, the demand for a good will decrease as the price of the good increases.

Exit mobile version