Problem
1. (Demand) Explain the effect of an increase in consumer income on the demand for a good.
2. (Income Effects) When moving along the demand curve, income must be assumed constant. Yet one factor that can cause a change in the quantity demanded is the "income effect." Reconcile these seemingly contradictory facts.
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.