The elasticity measure that has been employed by the courts to assess the degree of market competition is
A)price elasticity of demand.
B)income elasticity of demand.
C)cross elasticity of demand.
D)inverse elasticity of demand.

Question

Quizplus · Accepted Answer

Cross elasticity of demand is used to assess the degree of market competition by examining how the quantity demanded of one good responds to a change in the price of another good, indicating the level of substitutability between products and thus the competitiveness of the market.

The Elasticity Measure That Has Been Employed by the Courts