Consider two goods A and B with income elasticity of demand -2.5 and 0.8 respectively. During recession where consumers' income generally decreases, both sellers of A and B will earn higher revenue. Do you agree or disagree? Explain your argument. 2marks b. Which of the following goods and services has the higher price elasticity of demand? Explain your answer. Jet skis or toothpicks Holidays in NZ in the short run or in the long run