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)

Question

Responses

The demand curve for cell phones would shift to the left, and the demand curve for instant noodles would shift to the right.
The demand curve for cell phones would shift to the left, and the demand curve for instant noodles would shift to the right.

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 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 curves would both shift to the right.

Answer 1

In this scenario, if the income levels of consumers increase, the demand curve for cell phones, which is considered a normal good, would shift to the right. This is because as consumers have more income, they will likely buy more cell phones.

On the other hand, the demand curve for instant noodles, which is categorized as an inferior good, would shift to the left. As consumers' incomes increase, they tend to buy less of inferior goods like instant noodles, as they can now afford better alternatives.

Therefore, the correct response is:

The demand curve for cell phones would shift to the right, and the demand curve for instant noodles would shift to the left.