Question: Q . 2 . Suppose that the general demand function for good X is QD = 5 0 0 - 5 PX + 0 .

Q.2. Suppose that the general demand function for good X is
QD =500-5PX +0.5M +10PY -2PZ
where
QD = quantity demanded of good X per month
PX = price of good X
M = Average consumer income, in thousands
PY = price of good Y
PZ = price of good Zc) Based on the demand curve above, Are goods X and Y substitute or complements? What is the
relationship between good X and Good Z? Explain

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