question archive Suppose the cross-price elasticity of demand between hot dog and mustard is -3
Suppose the cross-price elasticity of demand between hot dog and mustard is -3
Subject:EconomicsPrice:2.88 Bought3
Suppose the cross-price elasticity of demand between hot dog and mustard is -3.00. This implies that a 30 percent increase in the price of hot dogs will cause the quantity of mustard to:
a. Fall by 300 percent,
b. Fall by 90 percent,
c. Rise by 10 percent,
d. Rise by 90 percent.
