Legal Definitions - bads

Definition: Bads are products that have a negative correlation between the amount consumed and the consumer's wealth. In other words, the more money someone has, the less likely they are to buy these products. Bads are often associated with low-income individuals.

Example: Spam is an example of a bad because it is a cheap and low-quality food product that is often consumed by people with lower incomes. On the other hand, beef tenderloin is generally considered a good because it is a high-quality and expensive food product that is often consumed by people with higher incomes.

Another example: Generic brand clothing is often considered a bad because it is cheaper and lower quality than name-brand clothing. People with higher incomes are more likely to buy name-brand clothing, while people with lower incomes may have to settle for generic brands.

The examples illustrate the definition of bads because they show how certain products are associated with different income levels. Bads are products that are often consumed by people with lower incomes, while goods are products that are often consumed by people with higher incomes.