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      Question

      Which of the following pairs of goods is/are likely to

      have a positive cross price elasticity of demand? (1) Cars and Petrol (2) Tea and Coffee (3) Rice and Air-tickets
      A Both 1 and 2 Correct Answer Incorrect Answer
      B Only 2 Correct Answer Incorrect Answer
      C Only 1 Correct Answer Incorrect Answer
      D Both 1 and 3 Correct Answer Incorrect Answer

      Solution

      The correct answer is B

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