Asked by Alyssa Squissato on Jun 06, 2024
Verified
An increase in income will always shift the demand curve to the right.
Demand Curve
An illustration depicting the connection between a good's price and the volume of the good consumers can and are ready to acquire at assorted prices.
- Understand how variations in income influence the demand for normal and inferior goods.
Verified Answer
OW
Oliver WoottenJun 08, 2024
Final Answer :
False
Explanation :
An increase in income generally shifts the demand curve to the right for normal goods, but for inferior goods, the demand curve shifts to the left because people buy less of these as their income increases.
Learning Objectives
- Understand how variations in income influence the demand for normal and inferior goods.
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