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Home Economics QUESTION #6289
Question 1
The 'Engel's Law' of family expenditure states that as income increases:
  • The family stops buying food altogether
  • The percentage of income spent on food decreases✔️
  • The total amount spent on food stays exactly the same
  • The percentage of income spent on food increases
Correct Answer Explanation
As income rises, the proportion of income spent on food falls, even if actual spending on food increases.