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25. If your income goes down by 15 percent and you cut back on your manicures by 25 percent, then your demand for manicures is
25. If your income goes down by 15 percent and you cut back on your manicures by 25 percent, then your demand for manicures is (LO4) a) income elastic b) income inelastic c) income elastic and income inelastic d) neither income elastic nor income inelastic 26. If our income elasticity for vacation trips is 2.8, we may conclude that vacation trips are (LO1) a) a normal service b) an inferior service c) both a normal service and an inferior service d) neither a normal service nor an inferior service 27. When the cross elasticity of demand for two services is negative, then these services are (LO4) a) complements b) substitutes c) both complements and substitutes d) neither complements nor substitutes
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