Steak is a normal good. If students' incomes at your college decrease, the effect on steak consumption will be:
A)an increase in demand.
B)an increase in the quantity demanded.
C)a decrease in demand.
D)no change in demand.

Question

Quizplus · Accepted Answer

A decrease in income would lead students to have less money to spend on luxury items like steak. As a result, they will be less likely to buy steak, leading to a decrease in demand.

Steak Is a Normal Good