Scooters are a normal good and buyers' incomes decrease. Which of ...

[melly21297]

Scooters are a normal good and buyers' incomes decrease. Which of the figures above best illustrates how this change affects the demand curve for scooters?
 
  A) Figure A
  B) Figure B
  C) Figure C
  D) Figure D
  E) None of the above answers is correct because the decrease in income will affect the supply curve not the demand curve.

Question 2

Refer to the figure above. The economy is currently at E. Which of the following is likely to happen if a recession hits the economy? Assume that wages are downwardly rigid.
 
  A) The labor market equilibrium will move from E to F.
  B) The labor market equilibrium will move from E to D.
  C) The labor market equilibrium will move from E to G.
  D) The labor market equilibrium will move from E to H.

[sailorcrescent]

Answer to Question 1

B

Answer to Question 2

C

[melly21297]

Thanks for the timely response, appreciate it

[jojobee318]

YES! Correct, THANKS for helping me on my review