If the income of everyone in the city went up because the city massively cut taxes for citizens, the overall population of people just had more income. How would this factor impact demand? Would overall demand increase or decrease? (Political economics)

Mike and his wife, amanda, are arguing about his in-laws. mike doesn’t want them to visit because they fight all the time when they come to the house and he is worried about the effect that their fighting is having on mike and amanda’s children. amanda finally yells out: “what about our fighting? ” mike replies, “well, that’s different. we fight because we’re having a disagreement, they fight because they hate each other! ” this is an example of