If the demand for a good increases as consumers' incomes rise,the good is termed a(n)
A) inferior good.
B) complement good.
C) normal good.
D) substitute good.
E) typical good.

Question

Quizplus · Accepted Answer

A normal good is a good for which the demand increases as consumers' incomes rise. This is in contrast to inferior goods, for which demand decreases as income increases, and complement and substitute goods, which are related to changes in the price of other goods. Therefore, choice C is the correct answer.

If the Demand for a Good Increases as Consumers' Incomes