A rise in the price of good A shifts the ________ good B rightward if the cross elasticity of demand between A and B is ________.
A) demand curve for; negative
B) demand curve for; positive
C) supply curve of; negative
D) supply curve of; positive
Question 2
If the price of one good increases by 3 percent and the quantity demanded of another good increases by 2 percent, the cross elasticity is ________ and the two goods are ________.
A) 2/3, substitutes
B) 2/3, complements
C) 3/2, complements
D) 3/2, substitutes
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