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Describe Cross-Price Elasticity Of Demand

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1. When the demand curve is relatively inelastic and the price falls, what happens to total revenue? The total revenue decrease.

2. Why is the demand for gasoline relatively inelastic, while the demand for Exxon's gasoline is relatively elastic?
Because even if the price increase or decrease it will not notably affect demand for the product. Gasoline is in demand because nowadays cars will never go out of style. Therefore, the demand for Exxon’s gasoline is elastic because Exxon is only one of many companies that sales gasoline, so there are many substitutes that have gasoline better or worst price.

3. Describe cross price elasticity of demand.
Cross price elasticity of demand is the measure of how much the quantity demanded of one good
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