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The demand for Cheerios cereal is more price-elastic than the demand for cereals as a whole. This is best explained by the fact that:
A. Cheerios are a luxury
B. Cereals are a necessity
C. There are more substitutes for Cheerios than for cereals as a whole
D. Consumption of cereals as a whole is greater than consumption of Cheerios
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Answers: 1
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The demand for Cheerios cereal is more price-elastic than the demand for cereals as a whole. This is...
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