Difference between revisions of "Cross-price elasticity of demand"
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(Created page with "'''Cross-price elasticity of demand''' measures the responsiveness of demand a product has to a change in the price of another product. If elasticity is negative then t...") |
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| − | '''Cross-price elasticity of demand''' measures the responsiveness of demand a product has to a change in the [[Price|price]] of another product. If elasticity is negative then the products are complementary, and if it is positive they are substitutes. | + | '''Cross-price elasticity of demand''' measures the responsiveness of demand a product has to a change in the [[Price|price]] of another product. If elasticity is negative then the products are complementary, and if it is positive they are [[Substitutes|substitutes]]. |
Latest revision as of 11:08, 10 January 2013
Cross-price elasticity of demand measures the responsiveness of demand a product has to a change in the price of another product. If elasticity is negative then the products are complementary, and if it is positive they are substitutes.