If the Cross-Price Elasticity Between Goods X and Y Is

question 39

Multiple Choice

If the cross-price elasticity between goods X and Y is zero,we know the goods are:

• A) independent.
• B) complements.
• C) inelastic.
• D) substitutes.

---

Definitions:

Product Feature

A characteristic or attribute of a product that is intended to enhance its desirability or functionality.

Social Judgement Theory

A psychological theory proposing that people compare incoming information against their existing attitudes on an issue, which influences the acceptance, rejection, or neutrality towards the message.

Designated Driver Systems

Designated driver systems are safety initiatives where individuals choose a non-drinking driver to transport them home safely, aiming to reduce alcohol-related accidents.

Commercial

A commercial is a paid advertisement or promotional message broadcast on television, radio, or online platforms, aimed at informing or persuading consumers about products, services, or brands.