Figure 3-1

-Refer to Figure 3-1.If the product represented is a normal good,an increase in income would be represented by a movement from
A) A to B.
B) B to A.
C) D₁ to D₂.
D) D₂ to D₁.

Question

Figure 3-1
 
-Refer to Figure 3-1.If the product represented is a normal good,an increase in income would be represented by a movement from
A) A to B. 
B) B to A. 
C) D₁ to D₂. 
D) D₂ to D₁.

Quizplus · Accepted Answer

An increase in income for a normal good leads to an increase in demand, which is represented by a rightward shift of the demand curve from D₁ to D₂.

Figure 3-1 -Refer to Figure 3-1.If the Product Represented Is a Normal