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Bart uses an old cigarette lighter that has become unreliable.It usually takes from one to 10 flicks to make it work.When the lighter is out of fluid,it will not work at all.By the time that Bart figures out the problem,he has tried flicking it 15 to 20 times.This situation illustrates the principle that
Elasticity
Elasticity refers to the measure of how much the quantity demanded or supplied of a good changes in response to a change in price.
Normal Good
A good for which demand increases as the income of consumers increases and decreases as the income of consumers decreases.
Income Elasticity
A measure of how the demand for a good or service changes in response to changes in consumer income, indicating whether a good is a luxury or a necessity.
Price Elasticity
The measure of responsiveness of the quantity demanded or supplied of a good to a change in its price.
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