If A is an inferior good and consumer income rises, the demand for A:
a) increases and the equilibrium price rises but the equilibrium quantity decreases.
b) increases and the equilibrium price and the equilibrium quantity increase.
c) decreases and the equilibrium price and the equilibrium quantity decrease.
d) decreases and the equilibrium price falls but the equilibrium quantity increases.
e) decreases and the equilibrium price rises; as a result, the equilibrium quantity decreases.
Answer: c) decreases and the equilibrium price and the equilibrium quantity decrease.
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