In a market in which demand is price inelastic, producers can gouge consumers and the government must

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“In a market in which demand is price inelastic, producers can gouge consumers and the government must set high standards of conduct for producers to ensure that consumers gets a fair deal.” Do you agree or disagree with each part of this statement? Explain how you might go about testing the parts of the statement that are positive and lay bare the normative parts.

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Foundations Of Microeconomics

ISBN: 9780132830881

6th Edition

Authors: Robin Bade, Michael Parkin

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