Brayden receives some utility from consuming a frozen dinner, an inferior good. however, he would much rather purchase fresh food, a normal good, if he could afford it. since a frozen dinner is an inferior good, how would an increase in its price affect the quantity brayden demands? the substitution effect causes brayden's quantity demanded of frozen dinners to decrease. the income effect causes brayden's quantity demanded of frozen dinners to increase since his purchasing power has changed. because a frozen dinner is an inferior good but not a giffen good, the substitution effect is stronger than income effect . this causes quantity demanded for a frozen dinner to decrease when the price increases. in this example, how do the substitution effect and income effect interact with each other? they work in the same direction. there is no way to know. they do not interact with each other. they work in opposite directions.