On any given day,Disney World can price discriminate and charge local visitors a ________ price for a ticket than out of state visitors because local visitors have a more ________ demand.
A) lower; inelastic
B) lower; elastic
C) higher; inelastic
D) higher; elastic

Question

Quizplus · Accepted Answer

Local visitors typically have a more elastic demand because they can visit anytime, making them more sensitive to price changes. Therefore, Disney World might charge them less to encourage attendance.

On Any Given Day,Disney World Can Price Discriminate and Charge