2. Suppose that business travelers and vacationers have the following demand for airline tickets from
New York to Boston:
Quantity Demanded
Quantity Demanded
Price
(business travelers)
(vacationers)
$150
200
250
300
2,100 tickets
2.000
1,900
1,800
1.000 tickets
800
600
400
why might vacationers have a different elasticity from business travellers
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Answer:
the treatment is different, the surrounding public is also different
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