Answer to Question #260606 in English for Glenann Cameron

Question

Can you paraphrase this for me please ?

“When cross-elasticity of demand is 0.8, this means that watches and cell phones are substitute goods, since the cross-elasticity of demand is greater than one. That is, when the price of watches rises, individuals will tend to substitute watches for cell phones and vice versa.”

Answer 1

"When the cross-elasticity of demand is 0.8, watches and mobile phones are substitute commodities because the cross-elasticity of demand is more than one." That is, when the price of watches grows, people will seek to replace them with cell phones, and vice versa."