A clothing store on fashionable Rodeo Drive charges more for the same clothes than another store in
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A clothing store on fashionable Rodeo Drive charges more for the same clothes than another store in less fashionable Compton. Why does the first store charge more?
a) It has to pay a higher rent.
b) It knows its customers can afford to pay more.
c) It advertises more.
d) Because it can.
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