Good X and good Y are substitutes. If the price of good Y increases, then the

A. quantity demanded of good X will increase
B. demand for good X will increase
C. demand for good X will decrease
D. quantity demanded of good X will decrease

The correct answer is B. demand for good X will increase.

Explanation:

Two goods, X and Y, are said to be substitutes if they can be used to serve the same purpose. Thus, if good X is a substitute to good Y, then X can be used in place of Y and Y can be used in place of X.

For substitute goods, the cross-price elasticity of demand is positive. This means that if the price of one good rises, the demand for the substitute good increases.

answer; i believe the correct answer is (tall); ///good luck

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