AP Microeconomics 2.5: Income and Cross-Price Elasticity

The table provided shows the marginal utility for Lucy when she consumes Good X and Good Y.

Suppose the price elasticity of demand for Good X is -2.0, the price elasticity of demand

for Good Y is -0.8, and the cross-price elasticity of demand between Good X and Good Y is

+1.6. Are goods X and Y complementary goods, substitute goods, normal goods, or inferior

goods? Explain.

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