A good for which demand increases as incomes increase and for which demand decreases as incomes decrease is:
A) a normal good.
B) an inferior good.
C) a complement good.
D) a substitute good.

Question

Quizplus · Accepted Answer

Normal goods are those for which demand increases as the income of consumers increases and decreases as the income decreases. This is in contrast to inferior goods, where demand increases when consumer income decreases. Complement and substitute goods relate to how products interact with each other rather than how their demand is affected by changes in income.

A Good for Which Demand Increases as Incomes Increase and for Which