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Figure: Demand for Coconuts
-(Figure: Demand for Coconuts) Look at the figure Demand for Coconuts. If coconuts are a normal good and the income level of consumers falls, it will be represented in the figure as a movement from:
A)A to C.
B)B to A.
C)C to A.
D)E to B.

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Use the following to answer questions :
Figure: Demand for Coconuts 
-(Figure: Demand for Coconuts) Look at the figure Demand for Coconuts. If coconuts are a normal good and the income level of consumers falls, it will be represented in the figure as a movement from:
A)A to C. 
B)B to A. 
C)C to A. 
D)E to B.

Quizplus · Accepted Answer

If the income level of consumers falls and coconuts are a normal good, then the demand for coconuts will decrease. This will be represented as a movement from point C to point A, as the quantity demanded decreases at every price level.

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