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Suppose the Demand Curves for Goods A,B,and C Have the Following

Question 151

Multiple Choice

Suppose the demand curves for goods A,B,and C have the following functional forms,where Q denotes quantity demanded,P denotes price,and M denotes income: QA = 120 - 3.5PA - 6PB + 14M
QB = 100 - 2PB + 3PC + 1.1M
QC = 1500 - 0.5PC - 300M.
Based on these demand curves,which of the following goods are known to be normal goods?


A) A
B) B
C) C
D) A and B only
E) A,B and C

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