In: Economics
As we can see that Americans love to eat peanut butter & jelly sandwiches . So these two goods seem to be substitute good . Substitute goods are those goods which are used in place of one another .
So , if the price of jelly increases , then consumer will prefer more peanut butter , as peanut butter is more cheaper for them as compare to jelly and both are substitute of each other . Hence Demand for peanut butter will shift rightwards due to which Price and Quantity of peanut butter will rise .
Hence (C) part is a correct answer