What would happen to the equilibrium price and quantity of lattés if consumers' incomes rise and lattés are a normal good?

Question

Quizplus · Accepted Answer

If consumers' incomes rise and lattés are a normal good, then the demand for lattés would increase. This would shift the demand curve for lattés to the right. As a result, the equilibrium price and quantity would both increase. This is because the increase in demand would put upward pressure on the price, which would lead to an increase in the quantity supplied by producers in response to the higher price.

What Would Happen to the Equilibrium Price and Quantity of Lattés