11903
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Elasticity and Incentives

Question 11903 • (Galli)WCA 2221 Civics/Economics 1st nine weeks 26-27

If the owner of Bond's Gym raises his prices, the demand for membership will most likely [___].

Answer
A
decrease
B
increase

Explanation

When the price of a membership rises, fewer people are generally willing or able to buy one. This inverse relationship between price and quantity demanded means demand for membership will most likely decrease.

AI-written and checked against the verified answer.

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