Tea and coffee can each be drunk in place of the other. They are:
ASubstitutes
BSubsidies
CSuppliers
DSurcharges
Answer & Solution
Correct answer: A. Substitutes
1. One can stand in for the other.
2. A buyer can swap between them freely.
3. Such goods are substitutes.
_Source: OpenStax Principles of Microeconomics 3e, Chapter 3, Demand and Supply._
Keep practising Demand Supply and Equilibrium
Browse all Demand Supply and Equilibrium questions for Bachelors Year 3, or explore more Economics topics.