00:01
Here we're talking about the idea of related goods, that is substitutes, right? so substitutes are things that replace and complements are things that go with.
00:12
So here we're asked to consider the demand for hamburgers.
00:17
So let's draw a demand curve.
00:19
A demand curve is a relationship between quantity and price, something like that.
00:23
There's a demand curve.
00:25
So the first of all, we know for one, the price of the price of the, the sub is going up, right? the price of the substitute is going up.
00:35
So let's try to connect the chains, right? the price of the sub going up.
00:40
So the price of the hot dog is going up.
00:44
This means that we expect the quantity of hot dogs to decline, right? because the demand curve for hot dogs slopes down.
00:54
And however, this means that the quantity of hamburgers should increase, right? this is the substitute relationship, the fact that they are going in opposite directions...