What Will Happen to the Equilibrium Price and Equilibrium Quantity

question 476

Multiple Choice

What will happen to the equilibrium price and equilibrium quantity of ice cream cones when consumersʹ incomes decrease?

• A) If ice cream cones are a normal good, then the equilibrium price and equilibrium quantity of ice cream cones will increase.
• B) If ice cream cones are an inferior good, then the equilibrium price for an ice cream cone will increase and the equilibrium quantity of ice cream cones will decrease.
• C) If ice cream cones are an inferior good, then the equilibrium price and quantity of ice cream cones will decrease.
• D) If ice cream cones are a normal good, then the equilibrium price and quantity of ice cream cones will decrease.

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