Question

If your income or the income of your family is not enough to purchase the basic commodities needed by your family, what goods would you buy, instead? What economic or marketing strategies would you apply? How would you respond to the price changes of these commodities?

Answer 1

Explanation:

The budget items that are included in the basic family budgets are: housing, food, child care, transportation, health care, other necessities, and taxes

family budgets for a modest standard of living have seven components: housing, food, child care, transportation, health care, other necessities such as clothing and entertainment, and taxes. The EPI notes that expenses rise as family size increases.

Answer 2

If the income of a family is not enough to purchase basic goods they would buy inferior goods.

• Inferior goods are goods which have an inverse relationship with the income of an individual/family.
• When the income of tge family rises tge demand for inferior goods decreases.

We would apply intensive budgeting so that we can utilize every penny and earn it's utility.

The prices of such products are less elastic but when it changes it will have less impact on the consumers.