Toothpaste and toothbrushes are complements, so the _______ elasticity of demand is _______.
A) income; positive
B) income; negative
C) cross; negative
D) cross; positive

Question

Quizplus · Accepted Answer

The cross elasticity of demand between two complements is negative, indicating that as the price of one good increases, the demand for the complementary good decreases.

Toothpaste and Toothbrushes Are Complements, So the _______ Elasticity of Demand