The cross price elasticity of demand measures how the demand for one good responds to price changes for another good.

Calculate the Cross Elasticity of Demand To calculate the cross elasticity of demand, divide the percentage change of the quantity purchased by the percentage change in the price of another good.

How to Calculate Demand Elasticity With Sales & Price. According to the law of demand, when the price of a product goes up, consumers will buy less of it and vice versa.

How Is Demand Affected by Cross-Elasticity? The cross-elasticity of demand is the relationship between the demand for one good when the price of its alternative changes.

Learn how income elasticity affects demand with our guide on definitions, formulas, and types, helping you understand ...