Understanding Demand: Normal vs. Inferior Goods

Answered using GPT-4o mini by AI Answer Generator

Question:

Demand for a good or service increases when the consumer's income rises, regardless of whether the good is a normal good or inferior good.

Demand for a good or service increases when the consumer's income rises, regardless of whether the good is a normal good or inferior good.

False

True

Answer:

False

Demand for a normal good increases when the consumer's income rises, but demand for an inferior good decreases when the consumer's income rises. Therefore, the statement is not accurate.