If a Rise in the Price of Good B Increases

question 134

Multiple Choice

If a rise in the price of good B increases the demand for good A,then

• A)A and B are substitutes and the cross elasticity of demand for good A with respect to the price of good B is positive.
• B)A and B are complements.
• C)the cross elasticity of demand between A and B is 1.
• D)A and B are substitutes and the cross elasticity of demand for good A with respect to the price of good B is negative.
• E)the demand for A is price elastic.

---

Definitions:

Wheelchair Ramp

A slope installed in addition to or instead of stairs to allow wheelchair users and individuals with disabilities to access buildings.

Designated Groups

Specific segments of the population that are protected under affirmative action and equal opportunity policies, often including women, minorities, and individuals with disabilities.

Median Pay

Median pay refers to the middle value of wages in a range of pay rates, where half of the workers earn less and half earn more.