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True or false: . In Mexico our firm faces a demand curve with a price elasticity equal to -7; in Brazil the demand curve has
True or false: . In Mexico our firm faces a demand curve with a price elasticity equal to -7; in Brazil the demand curve has a price elasticity of -9. However, since shipping goods to Brazil is twice as expensive as shipping them to Mexico, we should never charge a lower price in Brazil than in Mexico.
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