When Joshua's income increases, he purchases more prime-rib dinners than he did before his income increased. For Joshua, prime-rib dinners are a(n)
A)normal good.
B)inferior good.
C)optimal good.
D)Giffen good.

Question

Quizplus · Accepted Answer

For Joshua, prime-rib dinners are a normal good because as his income increases, he purchases more of them. This is consistent with the definition of a normal good, which is a good for which demand increases as income increases.

When Joshua's Income Increases, He Purchases More Prime-Rib Dinners Than