If a Decrease in Income Leads to a Decrease in the Demand

question 131

Multiple Choice

If a decrease in income leads to a decrease in the demand for mac and cheese, then mac and cheese is

• A)a normal good.
• B)a neutral good.
• C)a complement.
• D)a necessity.

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Definitions:

Fraud

The intentional deception or dishonesty by an individual or entity, with the purpose of gaining some unfair or unlawful advantage or causing some unjust loss or harm to another party.

Misrepresentation

The act of providing false, misleading, or incorrect information, intentionally or negligently, during a transaction or contract.

Antique Chair

A chair that is of considerable age, often classified as such based on its historical significance, craftsmanship, or period of manufacture, typically over 100 years old.

Voidable Contract

A contract that may appear legally valid but can be rejected by one of the parties without legal consequence due to certain defects.