ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Complementary goods are goods/services that are typically used together, for example keyboard and computers, tennis balls and rackets, and milk and cookies. When the price of a certain good decreases, the demand for its complementary good will increase.

Detailed explanation-2: -In economics, a complementary good is a good whose appeal increases with the popularity of its complement. Technically, it displays a negative cross elasticity of demand and that demand for it increases when the price of another good decreases.

Detailed explanation-3: -Compliments are two goods that are bought and used together; whereas, substitutes are goods used in place of another.

Detailed explanation-4: -A complementary good is a product or service that provides value to another product or service. In other words, they are two things that the customer utilises in conjunction with one another. Cereal and milk, for example, or a DVD and a DVD player.

Detailed explanation-5: -Supplementary Goods or Complementary Goods are goods that are used together. E.g. shoes and socks, knife and cutting board, … Remember, complementary sounds like complete, so in a sense, the products will complete each other (it would make more sense if they go together).