Identify the two goods which are substitutes.     Good X and Good Y     It is not possible to distinguish any relationship among the goods.     Good Y and Good Z     Good X and Good Z

Q: Considering peanut butter and jelly as compliment goods, if demand of peanut butter decreases…

A: A good that is being used to add value to another good or could not be used without each other is…

Q: A decrease in the price of a substitute good would be represented by a movement from

A: Two goods are substitutes if the products could be used for the same purpose by the consumers. That…

Q: The marginal utility is represented by the: Price P a b S D Quantity

A: Utility is the satisfaction gained by the consumer by consumption of a good. Marginal utility is the…

Q: Explanation with an example Variables that can shift the demand curve –Income –Normal good…

A: Demand curve shows the graphical relationship between the demand and the price. Demand curve be…

Q: A decline in the price of good A causes the demand curve for good B to shift to the right.  We can…

A: The demand changes of one good related to the price changes of another good is known as the cross…

Q: What is the difference between good x as a function of price and income and good x as a function of…

A: Factors affecting demand are demand determinants. Price (P) , income(Y) , utility (U), taste and…

Q: Suppose X and Y are substitutes. If the price of Y increases, the demand for X will most likely…

A: Suppose X and Y are substitutes. If the price of Y increases, the demand for X will most likely…

Q: If we have two substitute goods, then a decrease in the price of one will lead to increase in the…

A: In a market, two goods can be related to each other in terms of their demand, such that a change in…

Q: Give an example for substitutes, and give another example for complements. No need to explain. Do…

A: Goods which satisfy same type of wants and can be used in place of one another are called…

Q: Use willingness to pay and willingness to sell to determine supply anddemand at a given price

A: The maximum price that the buyer is ready to pay for a unit of commodity rather than go without it…

Q: Review price elasticity of demand and supply.  Price elasticity describes the sensitivity between…

A: The substitution effect is caused by a rise in the price of a good and service. The income effect is…

Q: price of the complement decreases.

A: When price of a complement good falls, quantity of that good rises (following law of demand), but…

Q: Explain the difference between (i) a normal good and an inferior good (ii) complements and…

A: ***Since the student has posted multiple questions, hence, the expert is required to solve only the…

Q: What term is used to describe goods that can replace each other to some extent, so that a rise in…

A: Substitute goods: 2 goods X and Y are substitutes if price of good X and demand for good Y are…

Q: When The price of good X falls then the demand for Good Y rise.  State where Good X and Good Y are…

A: # substitute goods are those goods which can be used on place of each other and on the other hand…

Q: If a good is an "inferior good", then people feel inferior when they buy it people buy less of this…

A: Inferior goods refer to those goods which demand decreases due to rise in individual income and…

Q: Two goods are complements if a decrease in the price of one good   A) decreases the quantity…

A: Complementary goods are specific types of goods that are used together or enhance each other’s value…

Q: If two goods are substitutes, what happens if there is a decrease in the price of one good?…

A: Substitute goods are known or considered to be as those goods which are alternative and which can be…

Q: When there is a change in price, there is an income effect and a substitution effect. Which is…

A: The income effect is that the change within the consumption of products by consumers supported their…

Q: The figure illustrates the effect of a decrease in the price of good B on the utility-maximizing…

A: Indifference curve An indifference curve refers to a combination of two goods that provide the same…

Q: Demand curves are generally downsloping.  Using a good of your own choosing as an example, fully…

A: Demand shows the relationship between the price of the product and quantity demanded. As the price…

Q: Suppose that an increase in the price of X goods, leads to a decrease in the demand of good Y This…

A: Suppose there are two goods X and Y, increase in the price of X leads to a decrease in demand for…

Q: Refer to the graph below: Quantity of Y 160 A B 11 200 X Quantity of X Why doesn't the consumer…

A: Consumer theory is important in economics because it examines how customers maximize satisfaction…

Q: If a good is an inferior good, then its A. Engel curve cannot be drawn. B. demand curve will be…

A: The inferior good refers to good which is negatively related to income. When income rises, the…

Q: Suppose the price of good Y is $18. Use the information given in the figure below to answer this…

A: The price effect is known as the effect on the quantity demanded due to the change in price. The…

Q: As the price of GOOD A increases by 20%, the quantity demanded of GOOD B increases by 10%. What is…

A: When the value of cross price elasticity is positive, it means that the two goods are substitutes…

Q: Beef is a material for beef meatball.  We observe that the equilibrium quantity of beef meatball…

A: The market is a place where the buyers and the sellers meet together and decide about the quantity…

Q: Give an example of a normal good. What will happen to the demand for normal goods if your income…

A: A good can be either normal or inferior. If a good is positively related to a consumer's income,…

Q: Define ‘Price Effect’ and ‘Income Effect’ and show the same diagrammatically.

A: Real income is the income that the consumer earns after the adjustment of inflation in the market.

Q: Agree or disagree, if both coffe and tea are normal goods and the price of coffe increase, it will…

A: Normal goods are those goods which have positive relationship with the income of consumers.

Q: B D D2 The demand for a blueberries, a normal good, is srown in the graph above, A shift from B to A…

A: "Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: Explain, with the aid of a graph, the effect of an increase in income on the equilibrium price and…

A: Meaning of Inferior Good: The term inferior good refers to a negative or inverse relationship…

Q: Give 5 examples each of inferior goods and normal goods

A: Goods can be categorised in the basis of income . These goods demand are affected by the income…

Q: At the beginning of the pandemic, millions of people became unemployed. Around the same time, the…

A: Based on the type of relationship between income and demand of good, goods are classified as…

Q: use the demand function below to answer the questions that follows Qdx = 3/4 - 1/3Px - 5Py + 2Pz -…

A: The quantity demanded of the good is defined as the amount of the good consumers are willing and…

Q: percent decrease in the price of avocados leads to a 20 percent increase in the quantity of salsa…

A: Complementary goods are those goods where change in price of one good leads to change in the demand…

Q: Which of the following will result in a DECREASE in demand (i.e., a leftward shift of the demand…

A: In economics, goods are items that fulfill human requirements and provide utility, for example, to a…