If the economy booms and peoples' incomes rise,then the demand curve for a normal good like new houses will _____ and the equilibrium quantity of new houses produced will _____.

Question

Quizplus · Accepted Answer

When the economy booms and people's incomes rise, the demand for normal goods like new houses increases. This results in a shift of the demand curve to the right. As a result, the equilibrium quantity of new houses produced will also increase, as the market adjusts to meet the higher level of demand.

If the Economy Booms and Peoples' Incomes Rise,then the Demand