If goods X and Y are complements and the price of X falls, all other things being equal, the demand curve for Y will

Question

Quizplus · Accepted Answer

When the price of X falls, the demand for X will increase as it becomes relatively cheaper compared to Y. This increase in demand for X will lead to an increase in demand for Y as well, since they are complements. Therefore, the demand curve for Y will shift to the right.

If Goods X and Y Are Complements and the Price