Question

when income changes it's effect on the balance of the consumer is called?​

Answer 1

Answer:

Ur answer...

Explanation:

The income effect in microeconomics is the change in demand for a good or service caused by a change in a consumer's purchasing power resulting from a change in real income.

Answer 2

Answer:

For normal economic goods, when real consumer income rises, consumers will demand a greater quantity of goods for purchase. ... However in addition, when the relative prices of different goods change, then the purchasing power of consumer's income relative to each good changes—then the income effect really comes into play