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When the Montreal Gazette newspaper reduced the weekly subscription price from $5.00 to $4.00 (a savings of 20), the number of subscriptions sold increased by

When the Montreal Gazette newspaper reduced the weekly subscription price from $5.00 to $4.00 (a savings of 20), the number of subscriptions sold increased by 5%.

This suggests that their customers have ________ demand and that the lowest price ________ income.

Explain why it is inelastic and diminished.

instead of elastic thank you

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