I would like to determine, whether two products are complementary. I have one year of data (day by day), where I have prices and demands for both products.
Can I use cross elasticity of demand? I guess it's too simple "model". For example I've noticed big variation of demand during a month, which I guess might be related to the payday. There might huge amounts of variables determining demand for product Y. I was event trying to compare similar days from different months, to avoid that "payday seasonality".
Is there any model, which helps to determine, whether two goods are complementary based on time series data?
I know, I'm might be quite naive, that I could use a cross elasticity for that.