The observation that consumers are generally more sensitive to price increases than to price decreases suggests that
A. firms gain more customers with price decreases than they lose with price increases.
B. most consumers are emotionally attached to their favorite products and are unlikely to change, even if the price changes.
C. most consumers cannot remember what price they paid the last time they bought a particular product.
D. it is easier to lose customers with a price increase than to gain customers with a price decrease.
E. most consumers would rather skip buying a product than pay a higher price.
Answer: D
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