Define Substitute goods and Complementary Goods.

Substitute Goods:

goods which can be used in place of one another to satisfy a particular want. Forexample, when the price of one substitute good goes up, the demand for the other substitute also goes up – this is known as positive cross price elasticity.

Complementary Goods:

goods which are consumed together to satisfy a particular want. Basically a product or service that adds value to another, two goods that the consumer uses together e.g.milk & cereal

Hope this helped you- have a good day bro cya)

A substitute good is a product that a consumer sees as the same or similar to another product.

Explanation:

Complementary good is a product or service that adds value to another.

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explanation:

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