Definitions for giffen good
gif·f·en good

WiktionaryRate this definition:0.0 / 0 votes

1. Giffen goodnoun

   inferior good

2. Giffen goodnoun

   A good which people consume more of as only the price rises; Having a positive price elasticity of demand.

WikipediaRate this definition:0.0 / 0 votes

1. Giffen good

   In economics and consumer theory, a Giffen good is a product that people consume more of as the price rises and vice versa—violating the basic law of demand in microeconomics. For any other sort of good, as the price of the good rises, the substitution effect makes consumers purchase less of it, and more of substitute goods; for most goods, the income effect (due to the effective decline in available income due to more being spent on existing units of this good) reinforces this decline in demand for the good. But a Giffen good is so strongly an inferior good in the minds of consumers (being more in demand at lower incomes) that this contrary income effect more than offsets the substitution effect, and the net effect of the good's price rise is to increase demand for it. This phenomenon is known as the Giffen paradox. A Giffen good is considered to be the opposite of an ordinary good.

WikidataRate this definition:4.0 / 1 vote

1. Giffen good

   In economics and consumer theory, a Giffen good is one which people paradoxically consume more of as the price rises, violating the law of demand. In normal situations, as the price of a good rises, the substitution effect causes consumers to purchase less of it and more of substitute goods. In the Giffen good situation, the income effect dominates, leading people to buy more of the good, even as its price rises. Evidence for the existence of Giffen goods is limited, but microeconomic mathematical models explain how such a thing could exist. Giffen goods are named after Scottish economist Sir Robert Giffen, to whom Alfred Marshall attributed this idea in his book Principles of Economics. Giffen first proposed the paradox from his observations of the purchasing habits of the Victorian era poor. For most products, price elasticity of demand is negative. In other words, price and quantity demanded pull in opposite directions; if price goes up, then quantity demanded goes down. Giffen goods are an exception to this. Their price elasticity of demand is positive. When price goes up, the quantity demanded also goes up. In order to be a true Giffen good, the good's price must be the only thing that changes to get a change in quantity demand, and a Giffen good should not be confused with products bought as status symbols or for conspicuous consumption.

How to pronounce giffen good?

1. Alex

   US English

   David

   US English

   Mark

   US English

   Daniel

   British

   Libby

   British

   Mia

   British

   Karen

   Australian

   Hayley

   Australian

   Natasha

   Australian

   Veena

   Indian

   Priya

   Indian

   Neerja

   Indian

   Zira

   US English

   Oliver

   British

   Wendy

   British

   Fred

   US English

   Tessa

   South African

How to say giffen good in sign language?

Numerology

1. Chaldean Numerology

   The numerical value of giffen good in Chaldean Numerology is: 6

2. Pythagorean Numerology

   The numerical value of giffen good in Pythagorean Numerology is: 7

References

1. ^ Wiktionary
   https://en.wiktionary.org/wiki/Giffen_Good
2. ^ Wikipedia
   https://en.wikipedia.org/wiki/Giffen_Good
3. ^ Wikidata
   https://www.wikidata.org/w/index.php?search=giffen good