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Colleges Are Able to Practice Price Discrimination by Separating Their

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Colleges are able to practice price discrimination by separating their students into distinct income groups using the Free Application for Federal Student Aid (FAFSA)and by offering a two-tiered pricing structure based on residency.Based on what we know about price elasticity of demand,what is generally true about these distinct groups?

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Generally,students from low-income famil...

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