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A 2 percent increase in the price of milk causes a 4 percent reduction in the quantity demanded of chocolate syrup. What is the cross-price elasticity of demand for chocolate syrup with respect to the price of milk?
Instructions: Enter your response rounded to one decimal place. If you are entering a negative number be sure to include a negative sign (-) in front of that number.
A- what Cross-price elasticity of demand ?
Are the two goods complements or substitutes?
a-Complements
b-Substitutes
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