Economics 9708 · AS & A Level · Price elasticity of demand

Price elasticity of demand — practice question

Goods X and Y are complementary goods. In the table below, column 1 presents the original market position at time period 1, while column 2 shows the position after the price of good Y rises. The value of cross elasticity of demand for good X with respect to the price of good Y is between

  • A–1.7 and –2.6.
  • B–0.8 and –1.3.
  • C–0.3 and –0.8.
  • D+0.3 and +0.6.

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