True or False: A decrease in consumer income will always lead to a decrease in market equilibrium price, as consumers will buy less of all goods.

False. When consumer income falls, people typically buy less of normal goods, so the price of those goods can fall, but they may buy more of inferior goods, which can keep the price of those goods steady or even raise it. The overall market equilibrium price therefore depends on how many goods are normal versus inferior and on how supply reacts. For example, if people buy fewer new cars but more used textbooks, the price of cars may drop while the price of textbooks could rise. Thus a decrease in income does not always lead to a lower equilibrium price for all goods.