Figure 3-1
-In Figure 3-1,if both A and B are normal goods,the effect of an increase in income is best shown by the

Name: Figure 3-1 -In Figure 3-1,if both A and B are normal goods,the effect of an increase in income is best shown by the
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Question

Figure 3-1 
-In Figure 3-1,if both A and B are normal goods,the effect of an increase in income is best shown by the

Quizplus · Accepted Answer

When income increases and both A and B are normal goods, demand for these goods increases, leading to a rightward shift in the demand curve from D₁ to D₂ in Graph A, as consumers are willing and able to purchase more at each price level.

Figure 3-1 -In Figure 3-1,if Both a and B Are Normal Goods,the