If a consumer's purchases of a product increase as income increases, this good is classified as a(n):
A) normal good.
B) inferior good.
C) substitute good.
D) complementary good.

Question

Quizplus · Accepted Answer

A normal good is a product whose demand increases with an increase in income. As income rises, consumers are able and willing to purchase more of the normal good as they have more money to spend.

If a Consumer's Purchases of a Product Increase as Income