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Question: page 114 41 what is the price elasticity of demand...

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Page 114 4.1. What is the price elasticity of demand, and what are its determinants? Describe how price elasticity of demand is different for necessities versus luxury goods. Drag word(s) below to fill in the blank(s) in the passage. When the price of a necessity increases, demand is likely to be – because consumers –that product to survive. However, when the price of a luxury good increases, consumers may –because the good is not crucial to survival. Thus, the demand would be –.

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