Answer to Question #322982 in Microeconomics for nasir

Question

If milk is a normal good, then a decrease in consumers’ income will definitely cause 

Answer 1

If milk is a normal good, then a decrease in consumers' income will definitely cause a decline in its consumption. Changes in consumer incomes affect the consumption of a normal good. An increase in consumer income would increase the consumption of a normal good, while a decrease in consumer income would result in a decrease in its consumption. Therefore, if milk is considered a normal good, a decrease in consumer's income would result in a decrease in its consumption.