Question

Upper A
4

percent increase in the price of digital apps reduces the amount of tablet devices demanded by 4

percent.
The cross price elasticity of demand is enter your response here
.
​(Enter your response rounded to two decimal places and include a minus sign if​ necessary.)
Part 2
The cross price elasticity of demand indicates that tablet devices and digital apps are
▼

complements
substitutes
unrelated goods
.

Answer 1

The cross price elasticity of demand is -4.00.

The cross price elasticity of demand indicates that tablet devices and digital apps are complements.