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Which of the following is correct regarding Giffen goods?
The demand of Giffen goods decreases with an increase in their prices.
The demand of Giffen goods increases with an increase in their prices.
The demand of Giffen goods does not change with a change in their prices.
The demand of Giffen goods increases with a decrease in their prices.
Giffen goods are those goods whose demand is positively related to it's price. It means with increase in price of the good, it's demand would increase.
By: Japjeet Singh ProfileResourcesReport error
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