Tagged: Queen Elizabeth I

Economics / Microeconomics / Terms and Concepts

Normal good, inferior good, Giffen good

Usually, goods are categorized into three different groups, which are: normal goods, inferior goods and Giffen goods.

The Gresham’s Law: Bad money vs. Good money

According to the Gresham’s Law, if both the good and bad money are used in an economy, and since the people are aware of the real value of good money, they will try to keep as much good money as they can to themselves, and spend the bad money instead.