CIMA BA1 · Chapter 5 · Question 3 of 10
Printers and ink cartridges are complementary goods. If the price of printers falls significantly, what is the likely effect in the market for ink cartridges?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: A) The demand curve for ink cartridges shifts to the right
Explanation
Cheaper printers increase the quantity of printers bought, which increases demand for the complementary good at every price. The demand curve for cartridges therefore shifts to the right; there is no change in cartridge prices to cause a movement along the curve.
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