The Cross-Price Elasticity of Demand Between Milk and Soft Drinks

question 15

Multiple Choice

The cross-price elasticity of demand between milk and soft drinks is likely to be

• A)negative because the goods are complements
• B)positive because the goods are complements
• C)negative because the goods are substitutes
• D)positive because the goods are substitutes
• E)0 because the goods are not usually consumed by the same person at one time

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