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Answer to Question #60596 in Microeconomics for diana gina
Question #60596
what is the impact of changes in the price levels of similar goods
Expert's answer
Similar goods or substitute goods are products that a consumer perceives as similar or comparable, so that having more of one product makes them desire less of the other product. Formally, X and Y are substitutes if, when the price of X rises, the demand for Y rises.
So, if the price for one similar good rises, then the demand for another good rises and vice versa.
So, if the price for one similar good rises, then the demand for another good rises and vice versa.
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#340153 on Dec 2023
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