Question: For Norma, both nachos and salsa are normal goods. They are also ordinary goods for Norma. The price of nachos rises, but the price of
For Norma, both nachos and salsa are normal goods. They are also ordinary goods for Norma. The price of nachos rises, but the price of salsa remains unchanged.
a. Can you determine definitively whether she consumes more or fewer nachos? Explain with a diagram, placing nachos on the horizontal axis and salsa on the vertical axis.
b. Can you determine definitively whether she consumes more or less salsa? Explain with a diagram, placing nachos on the horizontal axis and salsa on the vertical axis.
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