Draw a supply and demand curve and then, shift or move along the curves for the following 2 situations
The price of a substitute product increases by 15%
 The price of a complementary product decreases by 7%

Here is the supply and demand curve illustration for the two scenarios you requested:

1. **Substitute Price Increase by 15%**: The demand curve shifts to the right, leading to a higher equilibrium price and quantity.
2. **Complementary Price Decrease by 7%**: The demand curve also shifts to the right, resulting in a higher equilibrium price and quantity.

Both scenarios show how changes in the price of related goods (substitutes and complements) affect the demand side, while the supply curve remains unchanged.

Would you like more details or have any questions?

Here are 5 follow-up questions:
1. How does the elasticity of demand affect the magnitude of the curve shift?
2. What happens if the supply curve is also shifting in response to market changes?
3. How would a decrease in the price of the substitute affect the curve?
4. Can supply shocks impact the demand curve similarly?
5. What are other examples of complementary goods that might cause demand shifts?

**Tip**: In economics, when demand shifts due to price changes of related goods, it's important to consider the elasticity to understand the impact on quantity and price levels.

Draw a supply and demand curve and then, shift or move along the curves for the following 2 situations: The price of a substitute product increases by 15%, The price of a complementary product decreases by 7%.

Explore how the supply and demand curves shift when the price of a substitute product increases by 15% and the price of a complementary product decreases by 7%. Learn how these price changes impact equilibrium price and quantity, including a detailed explanation of demand curve shifts.

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