Question

In much of the country, homeowners choose to heat their houses with either natural gas or heating oil, both of which are normal goods. Which factor would cause an increase in the demand for natural gas? a.) an increase in consumer incomes b.) an increase in the price of natural gas c.) a decrease in the price of heating oil d.) a decrease in the price of natural gas a.) an increase in consumer incomes

Answer 1

An increase in consumer incomes and a decrease in the price of heating oil can cause an increase in the demand for natural gas as a heating option.

Step-by-step explanation:

Factors that can cause an increase in the demand for natural gas include an increase in consumer incomes and a decrease in the price of heating oil. For example, if consumer incomes increase, homeowners may be more willing and able to purchase natural gas as a heating option. Additionally, if the price of heating oil decreases, some homeowners may switch to natural gas as a more affordable alternative.

Answer 2

a.) an increase in consumer incomes.

Step-by-step explanation:

The natural gas and heating oil is considered as normal goods.Every person in the country cannot use theses goods on daily basis.So the increase in demand for the natural gas can be due to the increase in the incomes of the consumers so that they could afford these items for daily use.

Hence the answer is option a.