Suppose that when the price of good A changes, the quantity of good B demanded remains the same. The cross price elasticity of demand is
A) zero.
B) positive.
C) negative.
D) either positive or negative.

Question

Quizplus · Accepted Answer

According to the given information, the change in the price of good A has no effect on the quantity of good B demanded. This indicates that the two goods are not related, and hence the cross price elasticity of demand between A and B is zero.

Suppose That When the Price of Good a Changes, the Quantity