The price of good X falls and the demand for good Y decreases.We can conclude that
A)X and Y are complements.
B)X and Y are substitutes in production.
C)X is an inferior good.
D)X is a normal good.
E)X and Y are substitutes.

Question

Quizplus · Accepted Answer

When the price of good X falls and the demand for good Y decreases, it suggests that consumers are switching from good Y to good X, indicating that X and Y are substitutes.

The Price of Good X Falls and the Demand for Good