Peanut butter and jelly are complements if a tax is imposed


Peanut butter and jelly are complements. If a tax is imposed on peanut butter, how will that affect the market for jelly?

A. demand for jelly will increase along with price

B. demand for jelly will decrease along with price

C. The supply of jelly will increase and the price will decrease

D. Both the supply and demand for jelly will increase along with price

E. The supply of jelly will decrease and the price will increase

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Business Economics: Peanut butter and jelly are complements if a tax is imposed
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