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Consider the market for mustard, which is a complement to hot dogs. Suppose the price of pork, an input in the production of hot dogs decreases. Which of the following accurately describes how the mustard market is affected?
The equilibrium price increses and equilibrium qunatity also increases of the mustard. The reason is that decrease in the price of the pork leads to increase in demand for hot dogs. And since hot dogs and mustard are complematary goods, it would lead to increase in demand…

or the mustard which leads to increase in equilibrium price of mustard beacuse demand and price have an inverse relation. So, this also increases the equilibrium quantity of mustard.



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