An individual's income rises from $77 comma 00077,000 per year to $83 comma 00083,000 per year, and as a consequence the person's purchases of movie downloads rise from 22 per month to 55 per month. this individual's income elasticity of demand is
therefore, movie downloads are goods.

1) 19.23/Positive

2) Normal

Explanation:

In order to calculate the income elasticity of a product we will have to measure the percentage change in income and the percentage change in  quantity purchased of that product cause by the change of income.

Percentage change income = (83,000-77,000)/77,000= 7.8%

Income increased by 7.8%.

Percentage change in purchase of movie downloads= (55-22)/22= 150%

So a 7.8% increase in income increases the purchases by 150%, in order to calculate the income elasticity we will divide 150 by 7.8

150/7.8=19.23

Income elasticity = 19.23

Because the income elasticity is positive we can infer that movie downloads are normal goods because the quantity purchased increases when income increases.

being born in poverty would limit the people's chances, opportunities and benefits.

this happen because of several things, such as:

- poor people tend to gain less access to good education and nutrition. this mean that their chance to obtain high paying jobs would also be limited.

- poor people tend to socialize with other poor people while the rich tend to socialize with other rich people. this means that simply throguh their social circle, rich people would have more business opportunities compared to the poor people.

- rich people tend to have more capital in their disposal. this would benefit them in business since it is far easier for them to fund their business operation compared to poor people.