Author Question: If consumer incomes go up and Harley Davidson motorcycles are a normal good, the effect on the ... (Read 50 times)

ghost! · **on:** Jun 30, 2018

If consumer incomes go up and Harley Davidson motorcycles are a normal good, the effect on the demand for motorcycles, ceteris paribus, will be a(n):
a. upward movement along the demand curve for motorcycles.
b. downward movement along the demand curve for motorcycles.
c. rightward shift in the demand curve for motorcycles.
d. leftward shift in the demand curve for motorcycles.

Question 2

Which of the following will increase the demand for large automobiles?
a. A fall in the price of small automobiles.
b. A rise in insurance rates for large automobiles.
c. A fall in the price of large automobiles.
d. A rise in buyers' incomes (assuming large automobiles to be a normal good).