Calculate the cross-price elasticity of demand for fish

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A local restaurant currently charges $20 for a popular fish dish, and each night 100 customers order this dish. The same restaurant also has a side-order of chips on the menu at a cost of $5 per serve. When the price of chips increased to $5.50 sales of the fish dish fell to 90 customers per night. Calculate the cross-price elasticity of demand for fish with respect to chips. Carefully interpret your result.

Reference no: EM132428847

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