In terms of our shift variables of demand and supply, how are each of the following pairs related? Use the demand and supply diagram to identify the effects of an increase in the price of the first good on the equilibrium price and quantity exchanged of the second good. d. crackers and peanut butter  e. cotton and dress shirts f. neckties and dress shirts

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Q: Will an increase in a price of a good increase the expenditure on that good? Why?

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Q: Coffee and cream are complements. If the price of coffee increases, this will cause:

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Q: Ilustrate the law of Demand by showing the differences between the changes of quantity demanded and…

A: Answer to the question is as follows :