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Suppose that the price of elasticity of demand for good A is -1.3 but for good B it is -2.1. This could be explained by
Suppose that the price of elasticity of demand for good A is -1.3 but for good B it is -2.1. This could be explained by
- A has fewer substitutes and B
- A is a Kit Kat candy bar, and B is candy.
- A examines demand over 1 year, while B examines the demand for the same good over 1 week.
- A is a luxury, and B is a necessity.
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International Economics
Authors: Robert Carbaugh
15th edition
1285854357, 978-1305177093, 1305177096, 978-1285854359
