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During October and November 2008, Gasoline Prices Were Falling Dramatically

Question 384

Multiple Choice

During October and November 2008, gasoline prices were falling dramatically making travel by car less expensive but air travel prices were as high as ever. How does the fall in gasoline price affect the relative price of air travel in terms of travel by car?


A) Decreases
B) Does not change
C) Decreases then increases
D) Increases

Correct Answer:

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