Question

For sara, ramen noodles are a normal good, however sean considers ramen noodles to be inferior. if sara and sean have the same amount of income:

Answer 1

In this case, Sara will see the ramen as a good that is more elastic in demand than will Sean. This will mean that, as income drops for Sara, she will purchase less of the good than will Sean. Sean will end up purchasing less of the good if he has an increase in income.