PPSCFPSCNTSPakistan govt jobs
- Subject
- Supply and Demandeconomics-mcqs › supply-and-demand
- Published
- 29 May 2019
- Last updated
- 28 May 2026
What is the effect on the demand for product A if the price of its complementary good rises?
Multiple choice question for Supply and Demand. Select an option, then review the explanation below.
Explanation
When the price of a complementary product increases, consumers tend to buy less of both goods. This causes the demand for product A to decrease, shifting its demand curve to the left.
More Supply and Demand MCQs
Practice related questions from the same subject.
- 1.What is the typical shape of a demand curve?
- 2.What term describes a company earning profits beyond its normal profit level?
- 3.How does an increase in marginal cost affect output, and how does an increase in marginal revenue impact output?
- 4.Marginal revenue refers to the ________ resulting from producing an additional ________ of output.
- 5.What are firms generally assumed to do with their costs and profits?