People eat at restaurants less often when their incomes fall because of a recession.Eating at restaurants must be
A) an inferior good.
B) a normal good.
C) a complement to other goods.
D) a substitute for other goods.
E) an inelastic good.

Question

Quizplus · Accepted Answer

Eating at restaurants is considered a normal good because people tend to consume more of it when their income increases and less of it when their income decreases, as indicated by the scenario of reduced restaurant visits during a recession.

People Eat at Restaurants Less Often When Their Incomes Fall