Question

After firm A producing one good acquired another firm B producing another good, it lowered the prices for the bundle of goods. One can conclude that the goods were:_________ a. substitutes b. complements c. not related d. None of the above

Answer 1

Answer:

Substitute goods

Explanation:

A fall in the amount of a suitable replacement triggers a change in production and a change of the quantity demanded. An rise in the pricing of one substitute good induces an increase in demand over the other effect is an increase in the consumption for Omni Cola and a rightward change of the demand curve.