Two goods are considered to be related goods by many buyers: if the price of one increases, buyers buy more of the other. This indicates that the two goods are complements.

Question

Quizplus · Accepted Answer

This scenario describes substitute goods, not complements. When the price of one good increases and buyers purchase more of the other, it indicates that the two goods can replace each other in consumption. Complements, on the other hand, are goods that are often used together, so if the price of one increases, demand for the other typically decreases.

Two Goods Are Considered to Be Related Goods by Many