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27 September, 03:34

Ow lumber costs and lower prices on new homes is an example of:

a market economy

an interrelated market

a planned market

a fixed market

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  1. 27 September, 04:00
    0
    an interrelated market

    Explanation:

    An interrelated market shows the relationships between supply and demand of goods that might be substitutes, complements, or derivates.

    When the supply or demand of a good affects the supply or demand if another good there is a correlation between these goods. In this case there is a derived demand because the production of lumber has a strong impact in the production of homes.

    Another example maybe the change on prices of steel and the production of cars.
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