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The Cross-Price Elasticity Between Natural Gas and Heating Oil Is

Question 72

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The cross-price elasticity between natural gas and heating oil is estimated to be 2.3. The cross-price elasticity between natural gas and electricity is estimated to be -0.8. What is the relationship between natural gas and heating oil? What is the relationship between natural gas and electricity? Explain.

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Because the cross-price elasticity is po...

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