Distinction between ‘Normal Goods’ and ‘Giffin Goods’:-
1. Law of demand is applicable in case of Normal Goods and incapable in case of Giffin Goods.
2. Demand curve in case of normal goods is negatively sloped from left to right and positively sloped in case of Giffen Goods and rises from left to right.
3. Income effect of normal goods is positive i.e. increase in income increases demand of normal goods and income effect in case of Giffin Goods is negative i.e. increases in income decreases demand of Giffin Goods.
