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Cellphone Companies Found That When They Raised the Price of Connecting

Question 24

Multiple Choice

Cellphone companies found that when they raised the price of connecting to wireless hot spots, demand decreased more than proportionally among casual users but decreased less than proportionally among businesspeople. This is because wireless connectivity is a(n) for casual users but a(n) for businesspeople.


A) elastic good; inelastic good
B) luxury good; necessity good
C) normal good; inferior good
D) inelastic good; elastic good
E) inferior good; normal good

Correct Answer:

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