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How will the equilibrium price and quantity in the market for WHEAT be affected when farmers growing soybeans experience a decrease in the price of soybeans?
The big thing that confuses me is if wheat and soybeans are substitute or complimentary products. If they are substitutes, wont that mean a decrease in demand for wheat since people will be demand more soy beans? if they are compliments, will that mean an increase demand? OR is the supply affected for some reason?
We have to do rough sketches for this, so feel free to include a rough graph with quantity on the x axis and price on the y axis. (supply is an increasing line and demand is a decreasing line).
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