Pepsi and Pizza Are Normal Goods

Multiple Choice

Pepsi and pizza are normal goods. When the price of pizza falls, the substitution effect by itself will cause a

A) shift to a lower indifference curve so that the consumer buys less Pepsi.
B) shift to a higher indifference curve so that the consumer buys more Pepsi.
C) movement along the indifference curve so that the consumer buys more Pepsi.
D) movement along the indifference curve so that the consumer buys less Pepsi.