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The Cross-Price Elasticity of Demand Between Milk and Soft Drinks

Question 15

Multiple Choice

The cross-price elasticity of demand between milk and soft drinks is likely to be


A) negative because the goods are complements
B) positive because the goods are complements
C) negative because the goods are substitutes
D) positive because the goods are substitutes
E) 0 because the goods are not usually consumed by the same person at one time

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