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March 14, 2018

If the imported price goes up, I simply pass the increased cost on to my customers.”

“I don’t understand why economists make all this fuss about elasticities. For a start, I have no way of telling what the price elasticity of my shoes is except through calculation and I don’t have enough price data to calculate the price elasticity coefficient of the shoes I sell? The ones I sell are all exclusive, imported fashion items. I don’t need to know their price elasticity.

Economics

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