Economics Multiple Choice Question – 2 July 2018

The home of multiple choice questions for all your KS3, KS4 and KS5 Business Studies, Economics and Accounting requirements.

If the cross elasticity of demand is -5 between french fries and orange drink, then french fries

Select ONE answer:

  1. and orange drink are substitutes.
  2. are a normal good and orange drink is an inferior good.
  3. and orange drink are complements.
  4. are an inferior good and orange drink is a normal good.

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This is multiple choice question is suitable for Economics KS5 classes.

The answer is 3

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