14
QuizMultiple Choice

The Law of Supply and Demand — Quiz

Question 14 • Personal Finance and Economics

How might a drop in price for washing machines affect the demand for dryers?

Answer
A
The demand for dryers would have no relation to the changing prices of washing machines.
B
The demand for dryers would only be affected by an increase in the price of washing machines.
C
The demand for dryers would most likely increase as the price for washing machines dropped.
D
The demand for dryers would most likely decrease as the price for washing machines dropped.

Explanation

Washing machines and dryers are complementary goods because people often use them together. When washing machines become less expensive, more people may buy them, which can also increase demand for dryers. So demand for dryers would most likely increase as the price of washing machines dropped.

AI-written and checked against the verified answer.

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