Q. One of the economic laws says that as incomes increase, the proportion of starchy staples in the food basket declines relative to the share of more expensive sources of calories. What this hypothesis is known as ?
Answer: Bennet’s Law
Notes: The correct answer is Bennet's Law. This economic principle states that as income rises, the consumption of starchy staples (like rice and bread) decreases in proportion to more expensive foods (like meat and dairy). Engel's Law, on the other hand, focuses on the proportion of income spent on food decreasing as income increases. Bennet's Law specifically addresses the shift in types of food consumed with rising income.