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Suppose you own a shoe store and that as a result of advertising a particular brand of shoe, the product's elasticity changed from -1.5 to
Suppose you own a shoe store and that as a result of advertising a particular brand of shoe, the product's elasticity changed from -1.5 to -2. Suppose further that the marginal cost of producing the product is $25 both before and after the advertising.
1)As a result of advertising, you should either raise or lower? the product's price from $? and to $?
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