Javanese7296 Javanese7296
  • 10-01-2020
  • Business
contestada

The cross price elasticity for coffee for a change in the price of tea is likely to be __________.

Respuesta :

Dryomys Dryomys
  • 10-01-2020

Answer:

Positive

Explanation:

Coffee and tea are substitute goods. Therefore, the cross price elasticity of substitute goods is positive.

Positive cross price elasticity states that there is a direct relationship between the price of one good and the demand for its substitute good.

If there is an increase in the price of the coffee then as a result the demand for tea increases though the price of tea remains the same.

Answer Link

Otras preguntas

There are 48 soccer teams in the springtown association. This is three less than three times the number of teams in the Lyon Association. How would you put this
you are given two sequences tn=4+(n-1)7 and Sn=4(2)^n-1. Without calculating, which term is bigger t534 or S534? why?
The Diary of Anne Frank. List the conflicts that have developed among the characters by the end of act 1 scene 3. Why are these conflicts dangerous for the peop
When changes to the Constitution occur through the judiciary, who is making this ruling?
which of the following is true about ions
#18 how would u not multiplying to find which is grater
If the probability of a win is 0.2 and the probability of a draw is 0.1, What is the probability of a loss?
write a short description of horses
My Prime factors are 2,3, and 5, and I am a number between 58 and 68. What number am I?
How and why do languages diffuse?