If a 10 percent increase in the price of one good results in no change in the quantity demanded of another good, then it can be concluded that the two goods are:

A. Complementary goods
B. Substitute goods
C. Independent goods
D. Normal goods


C. Independent goods

Economics

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As a result of an increase in tariffs, imports decrease and government revenue increases

Indicate whether the statement is true or false

Economics

What would happen in the market for knee replacement surgery if insurance companies started to cover a smaller portion of the cost of the surgery, and fewer doctors decide to enter the field of joint replacement surgery?

A) Supply will decrease, but this will not shift the demand curve. B) Demand will decrease and supply will increase. C) Demand and supply will both decrease. D) Demand will decrease, but this will not shift the supply curve.

Economics

Everything else held constant, an increase in government spending ________ aggregate ________

A) increases; demand B) decreases; demand C) decreases; supply D) increases; supply

Economics

The demand curve for the product of a monopolistic competitor is

A) downward sloping. B) horizontal. C) vertical. D) unitary elastic.

Economics