Consider the market for peanut bustter. Suppose the price of jelly increases tom

Question

Consider the market for peanut bustter. Suppose the price of jelly increases tom $1.75 to $2 25 per jar As a result, the demand for peanut butter decreases from 299 to 270 jars Using the midpoint formula, what is the cross-price elasticitly of demand for peanut b?Ender a numenic response using a real number rounded to two decimal places. Don't forget the minus sign) Suppose the cross-price elasticity of demand for peanut buter with respect to the price of jelly is-0.10 In this instance, peanut buter and jelly are

Explanation / Answer

cross price elasticity of demand

=((270-299)/((270+299)/2))/((2.25-1.75)/((2.25+1.75)/2))

=-0.41

complements is the answer for fill in the blank. You can use complementary also.

the above are the answer

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