Consider the following pairs of items:
A.shampoo and conditioner
B.iPhones and earbuds
C.a laptop computer and a desktop computer
D.beef and pork
E.air-travel and weed killer
Which of the pairs listed will have cross-price elasticity of zero?
A)a and b only
B)c only since most people cannot do without computers
C)e only
D)none of the pairs listed

Question

Quizplus · Accepted Answer

Air-travel and weed killer are unrelated goods, so a change in the price of one does not affect the demand for the other, resulting in a cross-price elasticity of zero.

Consider the Following Pairs of Items