As the price of good A rises as a result of a decrease in the supply of good A, the demand for good B rises. Therefore, goods A and B are
A)normal goods.
B)inferior goods.
C)substitutes for one another.
D)complements to one another.

Question

Quizplus · Accepted Answer

When the price of good A rises due to a decrease in supply, consumers tend to switch to a substitute good, which in this case is good B. Hence, goods A and B are substitutes for one another.

As the Price of Good a Rises as a Result