And now...
...brace yourself for an excerpt from Sharon Ryan's supplementary review material:
Another possible market shock would be an increase in the price of beer on the market
for pretzels. If pretzels and beer are generally consumed together, then they are
considered to be complements. If the price of beer goes up then you won’t buy and drink
as much beer, but then you also don’t need as many pretzels. Thus, the increase in the
price of beer will result in a decrease (shift left) in the demand for pretzels, resulting in a
change in the market (equilibrium) price and sales of pretzels.
thank YOU, share-bear...thank YOU.
Another possible market shock would be an increase in the price of beer on the market
for pretzels. If pretzels and beer are generally consumed together, then they are
considered to be complements. If the price of beer goes up then you won’t buy and drink
as much beer, but then you also don’t need as many pretzels. Thus, the increase in the
price of beer will result in a decrease (shift left) in the demand for pretzels, resulting in a
change in the market (equilibrium) price and sales of pretzels.
thank YOU, share-bear...thank YOU.