Raclette is a popular wintertime dish in Switzerland.It is essentially melted Raclette cheese over boiled new potatoes.If the price of Raclette cheese decreased,we would expect to see:

A) an increase in demand for Raclette cheese.
B) an increase in demand for new potatoes.
C) no effect on the demand for either of the Raclette ingredients since this is a traditional dish and its consumption does not depend on the prices of the ingredients.
D) an increase in demand for both Raclette cheese and new potatoes.

Question

Sarah Belway · Accepted Answer

Final Answer : B, Explanation :  When the price of Raclette cheese decreases, it becomes more affordable, leading to an increase in its consumption. Since Raclette cheese is typically served with new potatoes, the demand for new potatoes would also increase as more people prepare the dish. This is an example of complementary goods, where the demand for one good increases when the price of its complement decreases.

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