If the Cross Elasticity of Demand Between Goods a and B

question 18

Multiple Choice

If the cross elasticity of demand between goods A and B is positive,then

• A)the demands for A and B are both price elastic.
• B)the demands for A and B are both price inelastic.
• C)A and B are complements.
• D)A and B are substitutes.
• E)A and B are inferior goods.

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Definitions:

Corporation Law

A body of law governing the formation, operation, and dissolution of corporations.

Corporate Affairs

Activities and operations related to the management and governance of a company, including compliance with legal and regulatory requirements, stakeholder relations, and strategic planning.

Derivative Action

A lawsuit brought by a company shareholder against company directors, officers, or others for misconduct.

Rectification Action

A legal process aimed at correcting a mistake in a document to reflect the true intention of the parties involved.