the price of the good, which is a normal good, is $4. If there is an increase in consumer incomes, which way will the demand curve shift? Will the quantity demanded of the good increase or decrease?
If there is an increase in consumer incomes, the demand curve for the good will shift to the right. This means that at any given price, consumers will demand a higher quantity of the good. So, the quantity demanded of the good will increase.
If there is an increase in consumer incomes and the good in question is a normal good, we can expect the demand curve to shift to the right. When consumer incomes rise, people tend to buy more of normal goods. As a result, the quantity demanded of the good will increase.
