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Danika is looking to purchase a new laptop for her university studies. She will need to use Microsoft Office on the laptop. However, retailers
Danika is looking to purchase a new laptop for her university studies. She will need to use Microsoft Office on the laptop. However, retailers sell laptops and the Microsoft Office software separately. JB Hi-Fi is having a sale, offering customers a 50% discount on the usual Microsoft Office price with any laptop they purchase. Which of the following statements are true: The decrease in price of Microsoft Office software offered by JB Hi-Fi will cause a decrease in the quantity demanded of laptops they sell. As Microsoft Office software and the laptop are substitutes, the fall in price of Microsoft Office software will cause an increase in demand for laptops sold at JB Hi-Fi. As the Microsoft Office software and the laptop are compliments, the fall in price of Microsoft Office software will cause an increase in demand for laptops sold at JB Hi-Fi. Economic theory is unable to predict if there would be any change in the quantity demanded with JB Hi-Fi's 50% discount offer.
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