Jewelry perfumes wines

Afrinrubi

Of families fell below the poverty line. This obviously had an impact on the consumption behavior of the population. The main cause of this situation was the rising inflation at that time , resulting from the outbreak of the global financial crisis. Research has shown that despite a significant price increase, higher rice consumption was observed among the poorest households.
  
This proves the occurrence of the discussed Giffen paradox. Tobacco products It may be suspected that Giffen behavior is possible in the case of tobacco products. Despite phone number list a significant price increase, smokers will probably not give up buying cigarettes due to the lack of other alternative goods. Giving up them involves fighting addiction - physical and mental dependence on nicotine, which is time-consuming and requires a lot of effort. Giffen paradox versus Veblen effect It is worth mentioning a phenomenon.



That is the opposite of the Giffen paradox we describe, i.e. the Veblen effect. As we have already explained, a Giffen good is a cheap product that is necessary for a person's everyday life. In turn, Veblen's goods include exclusive items, e.g.cars, which are intended for "consumption for show". Demand for them increases gradually with prices, mainly among wealthier people. This happens when people want to emphasize their social position and good financial situation. Summary So far, few real examples of Giffen goods in practice have been observed.