An increase in the price of good X causes the demand for good Y to shift inward. One can conclude that X and Y are:

a. complements.
b. substitutes.
c. unrelated goods.
d. normal goods.
e. exceptions to the law of demand.

a

Economics

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In the figure above, point B represents

A) a current account deficit. B) a current account surplus. C) a reduction in inventories. D) a temporary imbalance in the money markets.

Economics

A depreciating nominal exchange rate results from

A) a depreciating real exchange rate. B) a low domestic inflation rate relative to the foreign inflation rate. C) an appreciating real exchange rate. D) a large government budget deficit.

Economics