The Cross-Price Elasticity of Demand Between an Unlimited Texting Option

question 224

Multiple Choice

The cross-price elasticity of demand between an unlimited texting option and an unlimited call minutes option offered from a mobile phone provider would be

• A) positive if subscribers consider the services substitutes for each other.
• B) positive if subscribers consider the services complements to each other.
• C) negative if subscribers consider the services substitutes for each other.
• D) negative no matter if subscribers consider the services substitutes or complements for each other.

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Definitions:

Canadian Bar Association

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Solicitor-Client Relationship

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Sophisticated Client

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Business Decisions

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