If the price of tea increases what will be the demand for coffee. What kind of
elasticity is this?
Answers
Answered by
2
Answer:
In case the two goods are not related, the Coefficient of Cross Elasticity is zero. In case the two goods are substitutes for each other like tea and coffee, the cross price elasticity will be positive, i.e. if the price of coffee increases, the demand for tea increases.
hope it helps you
Answered by
0
Answer:
if the price of coffee increases, the demand for tea increases
Cross Elasticity
Similar questions