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Table 6-2 -Refer to Table 6-2. Assume That an Economist Has Estimated

question 243

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Table 6-2
Table 6-2    -Refer to Table 6-2. Assume that an economist has estimated the price elasticity of demand values in the table above. Use the data in the table to select the correct statement. A)  The demand for Coca-Cola is inelastic. B)  The elasticity for  All soft drinks  is less than the elasticity for Coca-Cola because Coca-Cola is more of a luxury than a necessity;  All soft drinks  represents goods that are more necessity than luxury. C)  The difference in elasticity values is explained by the fact that the more narrowly we define a market, the more elastic the demand will be. D)  There are fewer substitutes for  All carbonated soft drinks  than there are for  All soft drinks.
-Refer to Table 6-2. Assume that an economist has estimated the price elasticity of demand values in the table above. Use the data in the table to select the correct statement.


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