If two goods are complements, a fall in the price of one will lead to an increase in demand for the other.

Name: If two goods are complements, a fall in the price of one will lead to an increase in demand for the other.
Brand: Quizplus
Rating: 4.8 (47 reviews)

Question

Quizplus · Accepted Answer

This is the definition of complementary goods - a decrease in the price of one good increases the demand for the other. For example, if the price of coffee decreases, the demand for creamer (a complementary good) is likely to increase.

If Two Goods Are Complements, a Fall in the Price