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The demand for good X is estimated to be Qxd = 10,000 ? 4PX + 5PY + 2M + AX, where PX is the price
The demand for good X is estimated to be Qxd = 10,000 ? 4PX + 5PY + 2M + AX, where PX is the price of X, PY is the price of good Y, M is income, and AX is the amount of advertising on X. Suppose the present price of good X is $50, PY = $100, M = $25,000, and AX = 1,000 units. Based on this information, the cross-price elasticity between goods X and Y is Multiple Choice 0.008. -8.157. -0.816. -0.082.
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