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The Definition of Cross-Elasticity of Demand with Regard to Two

Question 15

Multiple Choice

The definition of cross-elasticity of demand with regard to two products X and Y is:


A) the percentage change in the quantity of X demanded divided by the percentage change in the quantity of Y demanded.
B) the percentage change in the price of Y divided by the percentage change in the quantity of X demanded.
C) the percentage change in the price of Y divided by the percentage change in the price of X.
D) the percentage change in the demand of one good (good X) divided by the percentage change in the price of another good (good Y) .

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