If a good is a normal good, an increase in income will
A) decrease the quantity demanded of the good.
B) increase the demand for the good.
C) cause the demand curve for the good to shift to the left.
D) cause a movement down along the demand curve.

Question

Quizplus · Accepted Answer

A normal good is a product or service for which demand increases as income increases. Therefore, an increase in income will lead to an increase in demand for the good, shifting the demand curve to the right.

If a Good Is a Normal Good, an Increase in Income