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Juan raised the price of a certain brand of running shorts in his store by 15%. Once he did this, Juan noticed that customers were
Juan raised the price of a certain brand of running shorts in his store by 15%. Once he did this, Juan noticed that customers were purchasing fewer running shirts. Last week, he sold 50% fewer shirts after the price increase of the shorts. The cross-price elasticity calculated using the cross-price elasticity formula is and the goods are a.) -0.23; complements b.) 1.04; substitutes
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