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Unformatted text preview: the demanded quantity will drop as the price goes up. However, in recent couple of weeks when oil prices keep reducing, the consumer prices relatively go down. Oil (or transportation) is now considered to be the complementary good as it involves (or goes with) in almost all production (or industries). Therefore, the changes in oil prices will lead to the shift in other goods demand....
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This note was uploaded on 03/10/2011 for the course ECON 101 taught by Professor Duc during the Spring '05 term at Linfield.
- Spring '05