| Squilliam said: General economic theory: Price elasticity. If you decrease the price of a normal good you would expect to earn greater revenue. Laymans terms!  |
Actually I believe that is an "ordinary good", a "normal good" is when demand shifts based on changes in income not price, an ordinary good is when demand shifts based on changes in price of good, the difference is that a normal good is always an ordinary good, but an ordinary good can be either a normal good or an inferior good
Found this handy table
Income change Price change
Normal good Inferior good Ordinary good Giffen good
Income up Consumption up Consumption down Price up Consumption down Consumption up
Income down Consumption down Consumption up Price down Consumption up Consumptiondown
Predictions:Sales of Wii Fit will surpass the combined sales of the Grand Theft Auto franchiseLifetime sales of Wii will surpass the combined sales of the entire Playstation family of consoles by 12/31/2015 Wii hardware sales will surpass the total hardware sales of the PS2 by 12/31/2010 Wii will have 50% marketshare or more by the end of 2008 (I was wrong!! It was a little over 48% only)Wii will surpass 45 Million in lifetime sales by the end of 2008 (I was wrong!! Nintendo Financials showed it fell slightly short of 45 million shipped by end of 2008)Wii will surpass 80 Million in lifetime sales by the end of 2009 (I was wrong!! Wii didn't even get to 70 Million)
