Give three examples of how businesses or nonprofit institutions use elasticity of demand to charge consumers different prices
Please provide the best answer for the statement.
In the airline industry, business travelers have a relatively more inelastic demand than leisure travelers. So, airlines can charge higher prices to the business travelers because their ticket purchases are not as sensitive to price changes as are leisure travelers. Also, children are often charged a lower price for a good or service because they have a more elastic demand than do adults. Universities charge a different net tuition price based on the income level of the student. Lower income students pay less tuition, and this serves to increase the number of low-income students attending college.
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Monopolistic competition differs from perfect competition because in monopolistically competitive markets
a. there are barriers to entry. b. all firms can eventually earn economic profits. c. each of the sellers offers a somewhat different product. d. strategic interactions between firms are important.
The You Look Marvelous! cosmetic company is considering building a new shampoo factory. Its accountants and board of directors meet and decide that it is not a good idea to build the factory. If interest rates fall after the meeting
a. the present value of the factory rises. It's more likely the company will build the factory. b. the present value of the factory rises. It's less likely the company will build the factory. c. the present value of the factory falls. It's more likely the company will build the factory. d. the present value of the factory falls. It's less likely the company will build the factory.
Refer to the figure below. Suppose the solid line shows the current demand curve for coffee. In response to an announcement that much of next year's coffee crop has been destroyed by a storm in Brazil, you should expect: 
A. the demand curve to shift to D(A) in anticipation of higher future prices. B. the demand curve to shift to D(B) in anticipation of higher future prices. C. an increase in the quantity of coffee demanded, but no shift in the demand curve. D. neither a change in quantity demanded nor a shift in demand because next year's coffee crop will not affect the current demand for coffee.
During a recession, spending on ________ tends to fall more dramatically than spending on ________
A) nondurable goods; durable goods B) durable goods; nondurable goods C) food; cars D) necessities; luxuries