Reference no: EM131253262
If goods A and B are substitutes in consumption, a decrease in the price of good B will _________. If goods A and B are substitutes in production, a decrease in the price of good B will _________.
A) increase the demand for good A; increase the supply for good A.
B) decrease the demand for good B; decrease the demand for good A.
C) decrease the demand for good A; increase the supply for good A.
D) increase the demand for good B; decrease the demand for good A.
If goods A and Z are complements in consumption, an increase in the price of good Z will _________. If goods A and Z are complements in production, an increase in the price of good Z will _________.
A) increase the demand for good A; decrease the supply for good A.
B) decrease the demand for good A; increase the supply for good A.
C) decrease the demand for good Z; decrease the supply for good A.
D) increase the demand for good A; increase the demand for good A.
I need answers for these questions, but also, what are the differences between (substitutes / complements) in (consumption / production)
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