Discuss income and price elasticities of demand for cars

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The automobile industry is one of the industries seriously affected by the recession that began in late 2007. General Motors and Ford are among the companies affected by this economic slowdown. They responded, among other measures, by downsizing and undertaking layoffs in order to reduce cost. Discuss the market structure these companies operate in with specific assessment of degree of competition. Discuss income and price elasticities of demand for cars made by these two companies.

Reference no: EM131090309

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