For normal goods which of the following explains why demand curves slope downward?

Question

Quizplus · Accepted Answer

The downward slope of the demand curve for normal goods is explained by the substitution effect and the income effect. The substitution effect occurs when consumers opt for cheaper alternatives as the price of a good increases, while the income effect happens because the purchasing power of consumers changes with the price of goods, affecting the quantity demanded.

For Normal Goods Which of the Following Explains Why Demand