A 50% increase in the price of oak wood has increased the quantity demanded of pine wood by 10%. What is the cross-price elasticity of demand of pine wood over oak wood? A) 0.1 B) 0.2 C) 0.5 D) 5
A 50% increase in the price of oak wood has increased the quantity demanded of pine wood by 10%. What is the cross-price elasticity of demand of pine wood over oak wood? A) 0.1 B) 0.2 C) 0.5 D) 5
Micro Economics For Today
10th Edition
ISBN:9781337613064
Author:Tucker, Irvin B.
Publisher:Tucker, Irvin B.
Chapter5: Price Elasticity Of Demand And Supply
Section: Chapter Questions
Problem 4SQP
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Question
A 50% increase in the
pine wood by 10%. What is the cross-price elasticity of
A) 0.1
B) 0.2
C) 0.5
D) 5
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