When The price of good X falls then the demand for Good Y rise.  State where Good X and Good Y are Substitute or compliment

Q: If the price of a good is above equilibrium price then,

A: Market equilibrium is a stable situation in which the quantity demanded by the consumers and the…

Q: The law of demand states that the quantity of a good demanded varies a. Directly with the…

A: Microeconomics refers to the branch of economics that deals with the individual's decision-making.

Q: Goods A and B are substitutes in production. The price of good A rises. As a result, the equilibrium…

A: Meaning of Production Function: The term production function refers to the situation under which a…

Q: You attend a movie and notice that there are hundreds of empty seats.what might you conclude about…

A: Equilibrium is attained in the market at the point where the demand and supply intersect each other.…

Q: When the income of buyers of good X rises the equilibrium price of good X will (assume X is an…

A: A good whose demand fall with the increase in income of the consumer is known as an inferior good.

Q: A supply curve shows that *       sellers prefer high prices.       supply for the good is present.…

A: A supply curve shows a graphical representation of price of goods and quantity supplied of goods.…

Q: The law of demand says that all else being equal, as the price rises, the quantity demanded will…

A: Explanation:- Аll  demаnd  сurves  shаre  the  fundаmentаl  similаrity  thаt  they  slорe  dоwn…

Q: If we observe an increase in the price of a good and an increase in the amount of the good bought…

A: If initially the demand curve is D and the supply curve is S, the equilibrium price and quantity are…

Q: when the demand for one commodity falls due to the fall in the price of the other good, the two…

A: # We know we have two combination of goods available which are complements and substitutes.…

Q: If roses are inferior goods and consumers’ average income falls, there will be a rightward shift…

A: Demand is the willingness and ability of consumers for consuming and buying goods and services at…

Q: A market supply curve shows how the total quantity supplied of a good varies as   a. price of the…

A: The total production process of a firm/industry is an amalgamation of various forces, the optimum…

Q: Q7. You are analyzing the demand for good X. Which of the following will result in a shift to the…

A: When demand increases due to other than price factor then demand curve shift to the right. When…

Q: An increase in the price of a complement good brings about a(an) *   A. increase in quantity…

A: The demand is the quantity demanded of a particular good which is being demanded by the consumers.…

Q: A decrease in the current price of a good would increase the demand for the good. increase the…

A: Demand for a good refers to consumer's desire to purchase that good and their willingness to pay for…

Q: A flood decreases the quantity of roses supplied by 90 roses a day at each price. How does the rose…

A: In the free market, equilibrium price and quantity is determined by the forces of demand and supply…

Q: If Goods A & B are complements, and increase in the price of Good B will:

A: Goods are complements means that two goods are used together in some specified proportions like like…

Q: the price of good X is $10 and the price of good Y is $5, how much of good X can the consumer…

A: We know that the equation of budget line is:  Px Qx + Py Qy = M               Where, Px = Price of…

Q: Ceteris paribus, if the market demand for a product increases, what will happen to the equilibrium…

A: Let's assume the simple market demand and market supply graph shown below.

Q: The price of a good will tend to fall when there is excess demand for the good. there is excess…

A: Demand: - Demand is the relationship between the quantity demanded and the price of a good. There is…

Q: An increase in the price of a complement good brings about a(an)        increase in quantity…

A: Complementary Goods Complementary goods are those goods and services which are used together by the…

Q: In economics, what amount does the demand for a good refer to? The amount people would like to have…

A: In general, demand refers to the ability and desire of a consumer to purchase goods and services and…

Q: How are price of X (Px) and quantity supply (Qs) related

A: Answer to the question is as follows:

Q: Good A and B are substitutes. Good A and B are complements. Good A and B are substitutes because the…

A: The demand curve for a good is the graphical representation of the relationship between the price of…

Q: 1. Graph the effect of an increase in the prices of raw materials to the Market Equilibrium. 2.…

A: Since you have posted a question with multiple sub-parts, we will solve first three subparts for…

Q: If the price of a substitute to good X increases, then A) the demand for good X will increase. B)…

A: In a market, substitute good is one that is easily replaceable by another good with Similar…

Q: Law of demand doesn't hold true in which cases?

A: # The law of demand is one of the important basis of economics. It simply states the inverse…

Q: If a good is inferior, a rise in its price will cause people to buy more of it, thus violating the…

A: When people's incomes rise, demand for lesser goods falls. As earnings and the economy improve,…

Q: When the income of buyers of good X rises the equilibrium price of good X will (assume X is an…

A: The inferior goods are characterized as goods of low quality and goods which have other better…

Q: Good X and good Y are substitutes. If the price of good Y increases, then the a. Demand for good X…

A: The quantity demanded of a good refers to the amount of the good the consumers are willing and able…

Q: A rise in the price of a substitute in production for a good leads to A) an increase in the supply…

A: Demand: - Demand is the relationship between the quantity demanded and the price of a good. There is…

Q: An increase in the price of good B caused an increase in the demand for good C. This indicates that

A: An increase in the price of good B caused an increase in the demand for good C. This indicates that…

Q: The demand for a commodity increases when its 1 (A) price increases (B) price decreases (C) price is…

A: Any change in demand due to a change in price, we term it as a change in quantity demanded. Any…

Q: Assume that tea and lemons are complements and coffee and tea are substitutes. Say that the…

A: Price ceiling: - Price ceiling is a government policy of setting the maximum price for any good or…

Q: Which of the following would increase the demand for beef? A.) lower pork prices B.) higher prices…

A: The factors which affect the demand of a product are: 1. Price of substitute goods 2. Price of…

Q: The law of demand shows that: a. the demand curve is positively sloped. b. there…

A: The answer is part b i.e Inverse relationship between Quantity Demanded and price. The famous  law…

Q: Which one of the following statements is correct? A. A rise in the price of a good will cause the…

A: Statement A that "A rise in the price of a good will cause the supply curve of that good to shift to…

Q: The one saying that everything remaining constant, price and quantity demanded move in opposite…

A: As per the law of demand, the price and quantity demanded move in opposite directions but there are…

Q: Consider the market for cheese.  If the price of milk increases, what will be the consequences?…

A: All the goods in the market has a value. That value is paid by the consumers who wants to obtain the…

Q: When with the rise in price of a good, total expenditure on the good falls, then demand is

A: # There is a link between price and total expenditure which is based on the fact that whether the…

Q: For each of the following scenarios, determine if there is an increase or a demand for the good in…

A: “Since you have posted a question with multiple sub-parts, we will solve first three subparts for…

Q: f the demand curve for Good A shifts leftward when the price of Good B decreases, these two goods…

A: Change in demand occurs due to change in non price factors. Change in quantity demanded occurs due…

Q: If the price of a product is below the equilibrium price, the result will be A. A shortage of the…

A: Equilibrium is a state in which economic forces like supply and demand are balanced and the…

Q: The Demand for a good always increase with the increase in the prices of other goods True/False

A: A good can be a substitute for the other good or it can be a complementary good for the other type…

Q: The law of demand says that price and quantity demanded are

A: Demand refers to consumer willingness and ability to purchase a good at a particular price level.…