The following table indicates the demand for airline tickets between Johannesburg and Cape Town for business travelers and holiday travelers. Assume that the price increases from R3 000 to R3500. The difference between the price elasticity for business travelers and the price elasticity for holiday travelers is because business travelers travelling between Johannesburg and Cape Town, airline tickets are more of a necessity than for holiday travelers. Therefore, price elasticity for business travelers is ..- compared to the price elasticity for holiday travelers. a) Inelastic b) Elastic c) Unitary elastic d) Perfectly elastic QUESTION 20 (4 Marks) A friend of yours who owns a flower-selling business has the following opinion about the law of demand: She does not think that the law of demand is valid for red roses, because during February, when the price of red roses was very high, she sold many more. It therefore seems that there is a positive relationship between the price of red roses and the quantity demanded of it. Which one of the following is the best response to her argument? a) You agree with her and indicate that based on the evidence for red roses, the law of demand does not apply. b) You agree with her and argue that the law of demand is only applicable to a few goods and services. c) You disagree with her by stating that her information must be incorrect. d) You disagree with her and explain that the cause of the increase in the quantity demanded might be the result of some other factor and not the increase in the price