In terms of demand, an inferior good tends to...

An inferior good is characterized by a unique relationship with consumer income and demand levels. Specifically, an inferior good experiences increased demand when consumer income decreases. This occurs because as individuals' income falls, they tend to substitute higher-quality, more expensive goods with these inferior goods, which are usually lower in price and quality.

For example, when a person's income declines, they might choose to buy more instant noodles or generic brands instead of more expensive food items. This behavior reflects the fundamental principle of how demand for inferior goods operates in relation to income changes. Thus, the assertion that higher demand occurs when income decreases accurately captures the essence of what defines inferior goods in economic terms.