If the cross-elasticity of goods X and Y is positive, then the sales of X move:

A. in the opposite direction as the price of Y, and X and Y are substitute goods.
B. in the opposite direction as the price of Y, and X and Y are complementary goods.
C. in the same direction as the price of Y, and X and Y are substitute goods.
D. in the same direction as the price of Y, and X and Y are complementary goods.

Answer: C

Economics

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