Product X has a high income elasticity of demand and a high cross elasticity of demand with its closest substitute. Is it likely to have a low or high price elasticity of demand? Explain your answer.
Question
Related questions
a) Describe two advantages and two disadvantages of both fixed and flexible exchange rate regimes.
a) What do you understand by the term government budget deficit? In what way does this differ from government debt?
a) Distinguish between demand pull and cost push inflation.
a) Describe the three main motives for holding money.
a) What does the slope of the consumption function represent?
Leave an answer