The Cross-Price Elasticity of Demand of Substitute Goods Is

question 61

Multiple Choice

The cross-price elasticity of demand of substitute goods is:

• A) between -1 and 0.
• B) less than 0.
• C) equal to 0.
• D) greater than 0.

---

Definitions:

RFID

Radio Frequency Identification, a technology that uses electromagnetic fields to automatically identify and track tags attached to objects.

Radio Frequency Identification

A technology using radio waves to identify and track objects, animals, or people by means of tags attached to them.

Franchise System

A franchise system is a business model that allows individuals to own and operate a branch of a larger company, using its brand, trademark, and products.

Contractual System

A formalized system based on legal contracts that define relationships and obligations among parties, often used in franchising and vertical marketing systems.