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Explain why up to two-thirds of incarcerated inmates have a diagnosable mental illness.
Luxury Good
A good for which demand increases more than proportionally as income rises, and is often considered non-essential but desirable.
First-Degree Price Discrimination
A pricing strategy where a seller charges each customer the maximum price they are willing to pay, capturing all consumer surplus.
Inverse Demand Function
A mathematical representation that describes how demand for a product varies inversely with changes in its price.
Consumer's Surplus
The difference between the total amount that consumers are willing and able to pay for a good or service versus the total amount that they actually do pay.
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