Multiple Choice
When a restaurant purchases vegetables, to which major group of the Consumer Price Index (CPI) does this purchase belong?
37
views
5. Consumer and Producer Surplus; Price Ceilings and Floors
Consumer Surplus and Willingness to Pay
Struggling with Microeconomics?
Join thousands of students who trust us to help them ace their exams!Watch the first videoMultiple Choice
Which of the following items is most likely to be a complement to coffee?
A
Tea
B
Coffee mug
C
Sugar
D
Orange juice
Verified step by step guidance1
Understand the concept of complements in microeconomics: Complements are goods that are typically consumed together, so that an increase in the consumption of one good leads to an increase in the consumption of the other.
Analyze each option to see if it is commonly used or consumed together with coffee:
Tea is generally considered a substitute for coffee, not a complement, because people usually choose one or the other.
A coffee mug is a good that is used to consume coffee, so it can be considered a complement because it facilitates drinking coffee.
Sugar is often added to coffee to enhance its taste, making it a classic example of a complement to coffee.
Orange juice is typically consumed separately from coffee and does not complement it in consumption.
14:41mWatch next
Master Consumer Surplus in a Small Setting with a bite sized video explanation from Brian
Start learningRelated Videos
Related Practice
Consumer Surplus and Willingness to Pay practice set
Problem sets built by lead tutorsExpert video explanations