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Normal good
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{{Short description|Good that increases in demand when incomes rise}} [[File:Income consumption curve graph - upward sloping (normal goods).svg|alt=Graph of a normal good|frame|'''Example of a normal good:''' As income increases from ''B1'' to ''B3'', the outward movement of utility curve ''I'' dictates that the quantity of good ''X<sup>1</sup>'' increases in tandem. Therefore, ''X<sup>1</sup>'' is a normal good. Put another way, the positively sloped income consumption curve demonstrates that ''X<sup>1</sup>'' is normal. The [[Engel curve]] of ''X<sup>1</sup>'' would also be positively sloped. ]] In [[economics]], a '''normal good''' is a type of a [[Good (economics)|good]] which experiences an increase in demand due to an increase in income, unlike [[inferior good]]s, for which the opposite is observed. When there is an increase in a person's income, for example due to a wage rise, a good for which the demand rises due to the wage increase, is referred as a normal good. Conversely, the demand for normal goods declines when the income decreases, for example due to a wage decrease or layoffs.
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