What is the difference between normal …

Normal goods: Normal goods refer to those goods that share a positive relationship with income. That is, as the income increases, the demand for normal goods increases. On the other hand, as the income falls, the demand for normal goods falls. For example, clothing is a normal good. As income increases, the demand for clothing increases, and as income falls the demand for clothing falls.

Inferior goods: Inferior goods refer to those goods that share an inverse relationship with income. That is, as against normal goods, as the income increases, the demand for inferior goods falls and vice-versa. For example, coarse cereals are inferior goods. As the income increases, the consumer reduces its demand for coarse cereals and instead shifts its demand towards superior quality cereals. On the other hand, as the income falls, the consumer increases the demand for coarse cereals.