If the demand for digital cameras increases when consumers' incomes rise,then digital cameras are
A) a normal good.
B) an inferior good.
C) a substitute for camcorders.
D) a complement to camcorders.
E) made using advanced technology.

Question

Quizplus · Accepted Answer

The increase in demand for digital cameras with an increase in income indicates that digital cameras are a normal good. Normal goods are those whose demand increases with an increase in income.

If the Demand for Digital Cameras Increases When Consumers' Incomes