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Economics - Financial Markets 5 Online
OpenStudy (anonymous):

If the price of a complement rises how would the demand for the related good be?

OpenStudy (anonymous):

Think of bacon and eggs. If the price of eggs (the complement) goes up, quantity demanded will go down (since the demand curve has a negative slope). If quantity demanded for the complement goes down, quantity demanded for the related good (bacon) also goes down *at every price*, which is also called an inward shift of the demand curve.

OpenStudy (anonymous):

It's explained in the first three sentences here < http://en.wikipedia.org/wiki/Complementary_good >, but let me know if you still don't understand it.

OpenStudy (anonymous):

thanks

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