-Refer to the graphs above to answer this question.Suppose that the price of orange juice increases from P₁ to P₂ and the demand curve for apple juice shifts to the right from D₁ to D₂.What is the relationship between orange juice and apple juice? A)The demand for both types of juices must be elastic. B)Orange juice and apple juice must be substitutes. C)The demand for both types of juices must be inelastic. D)Orange juice and apple juice must be complements. E)There is no relationship between the two types of juices.

Question

Quizplus · Accepted Answer

When the price of orange juice increases and the demand for apple juice increases as a result, it indicates that consumers are turning to apple juice as an alternative to orange juice. This behavior suggests that orange juice and apple juice are substitutes for each other, as an increase in the price of one leads to an increase in the demand for the other.

-Refer to the Graphs Above to Answer This Question