If gasoline is a normal good and all else is qual, when average consumer income falls, the demand curve for gasoline will:
A) increase.
B) decrease.
C) remain unchanged.
D) see a movement downward along the curve.

Question

Quizplus · Accepted Answer

When average consumer income falls, demand for a normal good like gasoline decreases because consumers have less money to spend, leading to a shift of the demand curve to the left, which is interpreted as a decrease in demand.

If Gasoline Is a Normal Good and All Else Is