The cross price elasticity of demand of unrelated goods:
A) is less than 0.
B) is equal to 0.
C) is greater than 0.
D) could be any of the above.

Name: The cross price elasticity of demand of unrelated goods: A) is less than 0. B) is equal to 0. C) is greater than 0. D) could be any of the above.
Brand: Quizplus
Rating: 4.8 (27 reviews)

Question

Quizplus · Accepted Answer

The cross price elasticity of demand of unrelated goods is equal to 0, as they are not related to each other and the change in price of one good will not affect the demand for the other good.

The Cross Price Elasticity of Demand of Unrelated Goods