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  • 27-05-2024
  • Business
Answered

The cross-price elasticity of hydroelectric power with respect to the price of natural gas has been estimated as being equal to 0.26 . This implies that:
a. one of the two goods is inferior and the other is normal, but we need additional information to determine which of them is normal.
b. electricity and natural gas are substitutes.
c. natural gas and electricity are both normal goods.
d. electricity and natural gas are complements.

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