text: what happens to a giffen good when its price increases? will award best answer!? please what i need is a link to a graph or article that better explains the increase in the qd of the giffen good when its price increases.  thanks, when the price increase, the quantity demanded increases also.  quoted from the wiki: there are three necessary preconditions for this situation to arise:  -the good in question must be an inferior good,  -there must be a lack of close substitute goods, and  -the good must constitute a substantial percentage of the buyer's income.