Solved

The Cross Price Elasticity of Demand Between Goods X and Y

Question 40

Multiple Choice

The cross price elasticity of demand between goods X and Y is -3.5.If the price of X decreases by 7%, the quantity demanded of Y will:


A) decrease by 24.5%.
B) decrease by 2.45%.
C) increase by 24.5%.
D) increase by 2.45%.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions