When people's incomes increase, the demand for a good increases. ...

[lb_gilbert]

When people's incomes increase, the demand for a good increases. The good is called
 
  A) an inferior good.
  B) a complement.
  C) a substitute.
  D) a normal good.

Question 2

In 2007, Singapore's government ran a budget surplus of 4.5 billion. The budget surplus ________ loanable funds and ________ the real interest rate.
 
  A) increased the supply of; lowered
  B) decreased the demand for; lowered
  C) increased the supply of; raised
  D) increased the demand for; raised

[jessicaduplan]

Answer to Question 1

D

Answer to Question 2

A