If the price of one good decreasing causes the price of another good to increase, then: a. demand is inelastic. b. the two goods are complements. c. the cross-price elasticity is positive. d. the second good is definitely inferior.
If the price of one good decreasing causes the price of another good to increase, then: a. demand is inelastic. b. the two goods are complements. c. the cross-price elasticity is positive. d. the second good is definitely inferior.
Chapter6: Elasticity
Section: Chapter Questions
Problem 2WNG: As the price of good X rises from 10 to 12, the quantity demanded of good Y rises from 100 units to...
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If the price of one good decreasing causes the price of another good to increase, then:
a. demand is inelastic.
b. the two goods are complements.
c. the cross-price elasticity is positive.
d. the second good is definitely inferior.
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