An increase in the price of one good can cause the demand for another good to increase if the goods are complements.
Answer the following statement true (T) or false (F)
False
If the price of a good increases, consumers will buy a lower quantity of that particular good along with fewer of the complementary goods regardless of the price of the complement.
You might also like to view...
Over the past 50 years, the largest increase in average real wage has occurred among ________
A) male college graduates B) female college graduates C) males with post-college education D) females with post-college education
If the government overcorrected in a situation of external costs a. More than the efficient amount of the good would end up being produced
b. Less than the efficient amount of the good would end up being produced. c. It would result in a welfare cost in that market that was bigger than the initial welfare cost. d. Both a and c are would result.