Question: Which of the following would tend to DECREASE the elasticity of demand for good X ? A. The cost of producing X decreases. B. Several

Which of the following would tend to DECREASE the elasticity of demand for goodX?

A. The cost of producing X decreases.

B. Several firms which used to produce substitutes for X go out of business.

C. Consumers begin spending a larger percentage of their income on X.

D. Several new firms enter the market for product X

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