The price of apples rises from $1.00 per pound to $1.50 per pound. As a result, the

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The price of apples rises from $1.00 per pound to $1.50 per pound. As a result, the quantity of oranges demanded rises from 8,000 per week to $9,500 per week.

What is the % change of quantity of oranges demanded?

What is the % change in the price of apples?

Compute the cross-price elasticity.

Is the cross-price elasticity positive or negative?

Are the two goods substitutes?

Related Book For answer-question

Intermediate Microeconomics

ISBN: 978-0393123968

9th edition

Authors: Hal R. Varian

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Posted Date: Feb 23, 2024 06:23 AM

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The price of apples rises from $1.00 per pound to $1.50 per pound. As a result, the

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Analyzing the Price Change and Demand Effects 1 Percentage Change in Quantity of Oranges Demanded In... View the full answer

Intermediate Microeconomics

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