Sunscreen and beach towels are complementary goods. If the price of sunscreen increases, ceteris paribus, _____.(1 point)
Responses
the income of consumers will decrease
the income of consumers will decrease
the income of consumers will increase
the income of consumers will increase
the quantity demanded of beach towels will decrease for every possible price
the quantity demanded of beach towels will decrease for every possible price
the quantity demanded of beach towels will increase for every possible price
the quantity demanded of beach towels will decrease for every possible price.
The correct answer is:
- The quantity demanded of beach towels will decrease for every possible price.