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Suppose that two goods have a cross-price elasticity of demand -0.6. This indicates that: a) Goods are substitute for each other; an increase in price
Suppose that two goods have a cross-price elasticity of demand -0.6. This indicates that: a) Goods are substitute for each other; an increase in price of one good increases demand for another good. b) Goods are complementary; indicating an increase in price of one good reduces the quantity of another good. c) Product is an inferior good. d )Both b & c
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