A decrease in the price of DVD players leads consumers to buy more DVD players. From this information we can conclude that DVD players
A)are normal goods.
B)are inferior goods.
C)are luxury goods.
D)could be any of the above.

Question

Quizplus · Accepted Answer

The information given only indicates that there is a downward-sloping demand curve for DVD players, meaning as the price decreases, the quantity demanded increases. This is a characteristic of most goods, regardless of whether they are normal, inferior, or luxury goods.

A Decrease in the Price of DVD Players Leads Consumers