Use the table below to answer the following questions.
Table 3.5.4
Quantities demanded and supplied in equilibrium
before and after a drought strikes potato farms

-In Table 3.5.4 potatoes and rice are
A)substitutes in Region 1 and complements in Region 2.
B)substitutes in Region 2 and complements in Region 1.
C)complements in both regions.
D)substitutes in both regions.
E)unrelated goods in both regions.

Question

Use the table below to answer the following questions.
Table 3.5.4
Quantities demanded and supplied in equilibrium
before and after a drought strikes potato farms
 
-In Table 3.5.4 potatoes and rice are
A)substitutes in Region 1 and complements in Region 2. 
B)substitutes in Region 2 and complements in Region 1. 
C)complements in both regions. 
D)substitutes in both regions. 
E)unrelated goods in both regions.

Quizplus · Accepted Answer

Potatoes and rice are typically considered substitutes because they are both staple carbohydrates. If they are substitutes in one region, it's logical to assume they maintain that relationship in another, as consumer preference for one over the other due to price or availability changes does not fundamentally alter their interchangeability as staple foods.

Use the Table Below to Answer the Following Questions