The correct answer is D) hot dogs and hot dog buns.
If hot dogs go on sale, the number of hot dogs demanded will increase. At the same time, demand for hot dog buns, regardless of if buns are on sale or not, will also increase because they are a complementary product.
If the price of hot dog buns were to increase drastically, the consumption of both products would likely decline.
Complementary products are products which are used together. Hot dogs and hot dog buns are complementary products because, unlike the other options, they are used with each other.
Europeans, mainly the English and the French began trading with the Native Americans as early as the 16th century. The demand for fur was rising in Europe so the Europeans traded knives, guns and axes in return for animal pelts and furs from the Native Americans.
A wage-price spiral is caused by the effect of supply and demand on aggregate prices. The rise in aggregate demand and the increased wage burden causes businesses to increase the prices of products and services. Although wages are higher the increase in prices causes workers to demand even higher salaries.
