Independent goods

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Two goods that are independent have a zero cross price elasticity of demand : as the price of good Y rises, the demand for good X stays constant

Independent goods are goods that have a zero cross elasticity of demand. Changes in the price of one good will have no effect on the demand of an independent good. For example, a person's demand for nails is independent of his or her demand for bread, since they are two unrelated types of goods.



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