Sign up now
to enroll in courses, follow best educators, interact with the community and track your progress.
Understanding The Concept Of Demand Part 2 (for UPSC CSE)
Are complementary goods the ones where increase in the price of one leads to increase in demand of other or decrease(as mentioned in video)?
Chaitanya Garg
3 years ago
Yes, you are right. But then the given definition of complementary gods and substitute goods will become same, but they are different concept.
Moosa Iqbal
3 years ago
Complementary goods are those in which change in price of one good will cause a change in demand of other good. For example : petrol and car: if price of petrol increases, demand of car will go down because people will not less cars. similarly , coffee and sugar: if sugar price increase, demand of coffee will decrease.
Gursewak fateh
3 years ago
good , I also realized that there is mismatched something,