We separated related goods and services into two distinct categories in the section on Demand&Supply; substitutes and complements. We learned that demand shifts or changes when the price of one of these types of goods changes, leading to a change in desired quantity demanded at every price.
We would like to know not just the direction of change but the
size of the change in demand that is brought about by a change
in the price of a related good. This is the purpose of the cross-price elasticity of demand.
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