You purchase both potatoes and gasoline regularly. Your income decreases, and you purchase less gasoline. This means that: Gasoline is a normal good. Potatoes are inferior goods. Gasoline has a negative substitution effect. Gasoline is an inferior good.

Gasoline is a normal good

Explanation:

Normal goods are goods that are goods whose demand increases when income increases and falls when income falls

Inferior goods are goods whose demand falls when income rises and increases when income falls.

Because the demand for gasoline falls when income falls, gasoline is a normal good.

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