question archive When the price of sausages is $2
When the price of sausages is $2
Subject:EconomicsPrice:2.88 Bought3
When the price of sausages is $2.00 per pound, consumers buy 50 pounds of hamburger. When the price of sausages rises to $4.00 per pound, 60 pounds of hamburger are purchased. The cross-price elasticity of demand between sausages and hamburger is approximately equal to:
a) +2.20.
b) +0.27.
c) -0.45.
d) +0.45.
