Consumers who buy luxury cars seldom pay much attention to the prices of economy cars.Which of the following is the most likely cross-price elasticity of demand for a low-price Ford Focus with respect to a relatively more expensive BMW?
A) 0.001.
B) 3.001.
C) -0.001.
D) -3.001.
E) -6.001.
Correct Answer:
Verified
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