When an increase in the price of one good lowers the demand for another good, the two goods are called complements.

Name: When an increase in the price of one good lowers the demand for another good, the two goods are called complements.
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Question

Quizplus · Accepted Answer

When the price of one good increases and causes the demand for another good to decrease, those goods are considered complements because they are often used together, indicating a direct relationship between their demands.

When an Increase in the Price of One Good Lowers