When the bandwagon effect exists, a change in price is likely to

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The bandwagon effect means that as more people adopt a product or service, the value of that product or service increases, creating a positive feedback loop. This means that if the price increases, people may still be willing to pay because they perceive it to be more valuable due to network externalities. Therefore, a change in price is likely to change total revenue more than if there were no network externalities.

When the Bandwagon Effect Exists, a Change in Price Is