How can the demand for one good be affected by increased demand for another one?

(A) When goods are bought together, increased demand for one will decrease demand for the other.
(B) A drop in price for a good will increase demand for the good and its substitute.
(C) If goods are used together, increased demand for one will increase demand for the other.
(D) If goods are substitutes for each other, increased demand for one will increase demand for the other.

Ans: (C) If goods are used together, increased demand for one will increase demand for the other.

Economics

You might also like to view...

Labor unions ________ increases in the minimum wage because an increase in the minimum wage ________ the demand for union labor

A) support; increases B) support; decreases C) oppose; increases D) oppose; decreases E) support; has no effect on

Economics

In a market with information asymmetry, gains from trade occur if:

A) the value of the good to the seller is greater than its value to the buyer. B) the value of the good to the buyer is greater than its value to the seller. C) the variable cost of producing the good is zero. D) the opportunity cost of consuming the good is zero.

Economics