The price of antique furniture increased by 10 percent and the quantity demanded decreased by 30 percent, and with no change in the price of refinishing products, the quantity of refinishing products demanded decreased by 8 percent.

The cross-price elasticity of demand measures the change in the demand for a product due to a change in the price of a related good. Negative cross-price elasticity means the goods are complements. Positive cross-price elasticity implies that the goods are substitutes.

Cross price elasticity

= $\frac{\Delta Qy}{\Delta Px}$

= $\frac{-8}{10}$

= - 0.8

The cross price elasticity is negative which means that the goods are complements.

8 0

3 years ago

How did the rest of the world react to Britain's response to India's peaceful 1 point

sveta [45]

Answer:

i would say D

Explanation:

im not sure

8 0

3 years ago

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The American Eurocopter company shows its product on a large yacht in its advertising in the hope that it will appeal to the upp

avanturin [10]

Answer: social class

Explanation: A social class can be described as a group of people within a society with similar social and economic status. The American Eurocopter company is showing their products to the group on the yatch because they belong to their target audience i.e the products are designed to appeal to individuals with taste similar to those on the yatch.

The reaction to the products by the group on the yatch could be indicative of how the social class the products are meant for would react to them as the group is a subset of their class. If the products appealed to the group, it will most likely appeal to the entire social class.

4 0

3 years ago

What are the most likely reasons a US corporation would open a factory in China? Check all that apply.

Damm [24]

to take advantage of affordable land prices

to take advantage of abundant resources

to take advantage of lower labor costs

to take advantage of favorable tax laws

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3 years ago

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