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Business economics Question 2 (a) You are told that when the price of tea goes down, Ann drinks more tea. Based only on this information

Business economics

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Question 2 (a) You are told that when the price of tea goes down, Ann drinks more tea. Based only on this information can you tell whether tea is a normal or inferior good for Ann? Carefully explain using appropriate diagram(s). [25] (b) You are told that when the price of coffee goes up, Ann buys more coffee. Based only on this information, can you tell whether coffee is a normal or inferior good for Ann? Carefully explain using appropriate diagram(s). [25]

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