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economics

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List the types of potential segmenting dimensions, and explain which you could try to apply first, second and third in a particular situation. If the of nature of the situation would affect your answer. Explain why

  • economics - ,

    The price elasticity of demand for cigarettes is estimated to be (-.4) and the income elasticity is about (+5).
    a- Suppose the government impose a tax on cigarettes so the price rises by 10%. Estimate the effect this price increase will have on cigarettes consumption and consumer spending on cigarettes. (both in percentage terms)

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