n a discussion of tuitionrates, a university official argues that the demand for admission is completely price inelastic. Asevidence, she notes that while the university has doubled its tuition(in realterms) over the past 15years, neither the number nor quality of students applying has decreased. Would you accept thisargument? Explain briefly. (Hint: The official makes an assertion about the demand foradmission, but does she actually observe a demandcurve? What else could be goingon?)

The schoolofficial's argument