Question: If a 15 percent decrease in the price of sapphires causes a 20 percent decrease in the quantity of diamonds demanded, then the cross-price elasticity

If a 15 percent decrease in the price of sapphires causes a 20 percent decrease in the quantity

of diamonds demanded, then the cross-price elasticity of demand between sapphires and

diamonds is:

Select one:

a. 4.00

b. 0.60

c. 0.75

d. 1.33

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