If a decrease in income leads to a decrease in the demand for mac and cheese, then mac and cheese is
A)a normal good.
B)a neutral good.
C)a complement.
D)a necessity.

Question

Quizplus · Accepted Answer

Mac and cheese is a normal good because as income decreases, the demand for it decreases. This is because as consumers have less income, they are likely to turn to cheaper alternatives or reduce their overall consumption of goods.

If a Decrease in Income Leads to a Decrease in the Demand