Asked by Khalil Vonner on May 05, 2024

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Pizza is a normal good.If students' incomes at your college increase,the effect on pizza will be:

A) an increase in the demand.
B) an increase in the quantity demanded.
C) a decrease in the demand.
D) no change in the demand.

Normal Good

A good whose demand increases as consumers' income rises, holding all other factors constant.

Students' Incomes

The earnings received by students from part-time jobs, stipends, or scholarships, contributing to their financial support.

Demand

The amount of a product or service that buyers are ready and can afford to buy at different price points within a specified time frame.

  • Gain insight into the mechanisms of demand and supply, including their respective driving factors.
  • Appreciate the nuances distinguishing normal goods, inferior goods, substitutes, and complements.
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ZK
Zybrea KnightMay 06, 2024
Final Answer :
A
Explanation :
When income increases, the demand for normal goods, such as pizza, increases because people can afford to buy more of these goods. This is different from an increase in quantity demanded, which occurs due to a decrease in the price of the good itself.