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

Price elasticity of demand — practice question

The cross-elasticity of demand for good X with respect to good Y is –0.5. What conclusion can be drawn from this?

  • AGoods X and Y are complementary goods.
  • BGoods X and Y are substitute goods.
  • CGood X is an inferior good.
  • DGood Y is an inferior good.

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