Ayushi Asked a Question
August 11, 2020 12:24 pmpts 30 pts
The cross-clasticity of good X with reference to price of good Y being negative means (1) X and Y are substitutes of each other (2) X and Y are complementary goods (3) the above facts have no relevance to their being complementary or substitute goods (4) cannot say without more data
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  • Nidhi taparia Best Answer
    The correct answer is (2) complementary goods. If the price of Y rises, it's quantity falls. If along with that quantity demanded of X also falls, it means X and Y are goods that ...
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