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ssume that consumer incomes decrease as the U.S. economy experiences a recession. If the income elasticity of demand for Tesla automobiles is equal to -2.0:

ssume that consumer incomes decrease as the U.S. economy experiences a recession. If the income elasticity of demand for Tesla automobiles is equal to -2.0: (a) would the change in consumer incomes cause the demand for Tesla automobiles to increase or decrease? (b) if consumer incomes decrease by 5 percent, how much will the quantity demanded for Tesla automobiles change as a result of the change in incomes?

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