Draw a demand curve for pizza. What happens to the demand curve in each of the following scenarios? a. The price of Coca-Cola increases, assuming that pizza and Coca-Cola are complementary goods in consumption. b. Income increases and pizza is considered a normal good. c. The price of burritos decreases, assuming that pizza and burritos are substitutes in consumption. d. The price of pizza increases

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Q: #8

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Normal and Inferior Goods

Understanding a normal good and an inferior good is important because it tells us what will happen to demand different products during booms and recessions.