Independent goods

From Wikipedia, the free encyclopedia

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.

v t e Types of goods

Public goods Private goods (includes household goods) Common goods Common-pool resource Club goods Anti-rival goods Global public goods Global commons

(Non-)Rivalrous goods and (Non-)Excludable goods

Complementary goods vs. Substitute goods vs. Independent goods

Free goods vs. Positional goods

(Non-)Durable goods Intermediate goods (producer goods) Final goods Capital goods

Inferior goods Normal goods (Necessity goods) Neutral goods Ordinary goods Giffen goods Luxury goods Veblen goods Superior goods

Search goods (Post-)Experience goods Credence goods

Merit goods Demerit goods

Damaged goods Composite goods Intangible goods

This article is issued from Wikipedia. The text is available under the Creative Commons Attribution/Share Alike; additional terms may apply for the media files.

Independent goods

See also