If Incomes Increase, Then the ____ in the Market for Luxury

question 60

Multiple Choice

If incomes increase, then the ____ in the market for luxury cars as normal goods ____.

• A)supply; decreases
• B)supply; increases
• C)demand; increases
• D)demand; decreases
• E)both supply and demand; increase

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Definitions:

Incremental

Refers to something happening in small steps or stages.

Malleable

Describing something that is capable of being shaped, influenced, or altered; often used in the context of personal attributes or abilities.

Attributional

Relating to the process of explaining the causes of behavior and events, including the attributions we make to understand others' actions.

Correspondent Inference

A theory in social psychology that explains how people infer others' personal characteristics from their behavior, assuming it corresponds to their personality.