Recent consumer data highlights a significant shift in protein consumption patterns across European supermarkets. As concerns over health and carbon footprints grow, the market for poultry substitutes has expanded rapidly.
Between 2021 and 2023, sales of plant-based chicken alternatives grew by 180% in the UK. Many consumers now treat these plant-based options as direct alternatives to traditional poultry. Economists have estimated that the cross elasticity of demand (XED) between plant-based chicken and real chicken is +0.32.
Question Using the cross elasticity of demand value of +0.32, explain the relationship between plant-based chicken and real chicken.
