What is the difference between Subsitute …
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Yogita Ingle 6 years, 2 months ago
Complementary goods: meaning of complementary is ‘useful or attractive together’. These are the goods which used together. Increase/ decrease in demand for one good will increase/decrease demand for other good also.
Ex: car and petrol, mobiles and mobile covers etc
Substitute goods: substitute goods have inverse relationship to each other i.e Increase in price of one good will decrease the consumption of that particular good and demand for another good increases.
Ex: increase in price of coffee makes people to have tea instead of coffee.
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