dse 2011

[Monika]

M=100
p1= 10 p2= 20
          x2=3

now, p1 changes to p1'=20 p2=20
                            x1=5

1- good 1 is inferior
2- good 1 is giffen
3- good 2 is compliment of good 1
4- all of the above

plz help..
MY DOUBT IS THAT I FEEL THAT GOOD 2 IS INFERIOR ,GIFFEN AS WELL COMPLIMENT (SINCE THE INCREASE IN PRICE OF GOOD 1 CAUSES A DEACREASE IN DEMAND OF GOOD 2.)
BUT I THINK THE ANSWER IS JUST INFERIOR AND GIFFEN.

[Monika]

GOOD 1* IS INFERIOR AND GIFFEN
AND GOOD 2 COMPLIMENT..

[ritu]

The answer is that its just giffen....giffen itself means inferiority...nd its not a complement....so option 2