Difference between revisions of "Substitute goods"

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'''Substitute goods''' are commodities that are similar enough that an increase in one price of one good (e.g., chewing gum) causes consumers to buy a similar, less expensive good (e.g., a candy bar).  Other examples of substitute goods are turkey and chicken, broccoli and spinach, and blueberries and raspberries.
  
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The opposite of substitute goods are [[complementary goods]].
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[[Category:Free market economics]]

Revision as of 22:26, June 28, 2010

Substitute goods are commodities that are similar enough that an increase in one price of one good (e.g., chewing gum) causes consumers to buy a similar, less expensive good (e.g., a candy bar). Other examples of substitute goods are turkey and chicken, broccoli and spinach, and blueberries and raspberries.

The opposite of substitute goods are complementary goods.