If three gasoline stations are located at the same intersection, their prices are often identical because they are complementary goods.

Question

Quizplus · Accepted Answer

Gasoline stations are not complementary goods, as their prices are not dependent on each other. Each station sets its own price based on various factors such as location, competition, and operating costs. Therefore, the prices of the three gasoline stations at the same intersection may be different.

If Three Gasoline Stations Are Located at the Same Intersection