This shows you the differences between two versions of the page.
| Next revision | Previous revision | ||
|
en:substitute-goods-examples [2018/09/10 14:18] federico created |
en:substitute-goods-examples [2018/09/29 11:37] (current) federico |
||
|---|---|---|---|
| Line 1: | Line 1: | ||
| - | **Substitute Goods** are those goods that can be used to satisfy the same necessity. Substitute Goods have a positive cross elasticity of demand. That is, when the price of one good increases, the quantity demanded of the other good increases, because the user can **substitute** one good for another. | + | ====== Examples of Substitute Goods ====== |
| + | |||
| + | |||
| + | |||
| + | **[[Substitute Goods]]** are those goods that can be used to satisfy the same necessity. Substitute Goods have a positive cross elasticity of demand. That is, when the price of one good increases, the quantity demanded of the other good increases, because the user can **substitute** one good for another. | ||
| Complementary goods, in contrast, have a negative cross elasticity of demand. | Complementary goods, in contrast, have a negative cross elasticity of demand. | ||
| - | Examples of substitute goods are: | + | Examples of substitute goods are (more than 10 examples): |
| + | |||
| + | * Tea and coffee | ||
| + | * Bus, taxi and car | ||
| + | * Bananas and Apples and Oranges | ||
| + | * Airplane and train | ||
| + | * Amazon Kindle books and paper books | ||
| + | * Butter and margarine | ||
| + | * Beer and Wine | ||
| + | * McDonald's and Burger King. | ||
| + | * Starbucks vs Dunkin'Donuts | ||
| + | * Starbucks Blonde Roast Coffee and Starbucks Medium Roast Coffee | ||
| + | * Bing Search and Google Search | ||
| + | * Electric cars and gas cars | ||
| + | * Private schools and public schools | ||
| + | * Coca Cola and Pepsi | ||
| + | |||
| + | **Graphical Analysis of Substitute Goods:** | ||
| - | - Tea and coffee | + | {{:en:subsitute-goods-example.png?nolink|}} |
| - | - Bus, taxi and car | + | |
| - | - Bananas and Apples and Oranges | + | |
| - | - Airplane and train | + | |
| - | - Amazon Kindle books and paper books | + | |
| - | - Butter and margarine | + | |
| - | - Beer and Wine | + | |
| - | - McDonald's and Burger King. | + | |
| - | - Starbucks vs Dunkin'Donuts | + | |
| - | - Starbucks Blonde Roast Coffee and Starbucks Medium Roast Coffee | + | |
| - | - Bing Search and Google Search | + | |
| - | - Electric cars and gas cars | + | |
| - | - Private schools and public schools | + | |
| - | - Coca Cola and Pepsi | + | |