Question

A good for which demand increases as income rises is _____, and a good for which demand increases as income falls is _____.

Goods and services that can be used for the same purpose are _____, and goods and services that are used together are _____.

Answer 1

A normal good is a good for which the demand increases as income rises, while an inferior good is a good for which the demand increases as income falls. Goods and services that can be used for the same purpose are called substitutes, and goods and services that are used together are called complements.

Step-by-step explanation:

A normal good is a good for which the demand increases as income rises, while an inferior good is a good for which the demand increases as income falls.

Goods and services that can be used for the same purpose are called substitutes, and goods and services that are used together are called complements.