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11-01-2024
Mathematics

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The cross price elasticity of demand for hot dogs and hot dog buns is -2.6 and the price of hot dog buns increases. What will happen in the market for hot dogs? Hint: Are hot dogs and hot dog buns complimentary or substitute goods? Now graph the market for hot dogs, shift your curve, and find the new equilibrium. Question options: Both equilibrium price and equilibrium quantity increase Both equilibrium price and equilibrium quantity decrease Equilibrium price increases while equilibrium quantity decreases Equilibrium price decreases while equilibrium quantity increases

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