The demand curve for cell phones would shift to the right, and the demand curve for instant noodles would shift to the left.
When income levels increase, consumers are more likely to spend on higher-quality goods (such as cell phones) and less likely to purchase lower-quality goods (such as instant noodles), leading to an increase in demand for cell phones and a decrease in demand for instant noodles.
If income levels of consumers within a given economy increase, what would happen to the demand curve for cell phones, a normal good, and the demand curve for instant noodles, an inferior good?(1 point)
Responses
The demand curves would both shift to the right.
The demand curves would both shift to the right.
The demand curve for cell phones would shift to the right, and the demand curve for instant noodles would remain unchanged.
The demand curve for cell phones would shift to the right, and the demand curve for instant noodles would remain unchanged.
The demand curve for cell phones would shift to the right, and the demand curve for instant noodles would shift to the left.
The demand curve for cell phones would shift to the right, and the demand curve for instant noodles would shift to the left.
The demand curve for cell phones would shift to the left, and the demand curve for instant noodles would shift to the right.
1 answer