Electric guitars and amplifiers are complementary goods, and electric guitars and acoustic guitars are substitute goods. Therefore, an increase in the price of amplifiers _____ the demand for electric guitars, while an increase in the price of acoustic guitars _____ the demand for electric guitars, other things the same. Group of answer choices

Respuesta :

Answer:

Decreases

Increases

Explanation:

Complementary goods are goods that are usually used together. If the price of one of the complementary good rises, the demand for the other complementary good falls. This occurs according to the law of demand which says that the higher the price, the lower the quantity demanded and the lower the price, the higher the quantity demanded.

So, if the price of amplifiers increases, the demand for electric guitars falls.

Substitute goods are goods that can be used in place of each other. If the price of a good that has a substitute increases, the demand for the subtitute increases. Consumers would demand more or the substitute good and less of the good whose price increased.

If the price of acoustic guitars rise, the demand for electric guitars would rise.

Answer:

go´s down               go´s up

Explanation: