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Archive for November 27th, 2007

Playstation Price Elasticity

Tuesday, November 27th, 2007

Video game players apparently have a very high price elasticity of demand for the Playstation 3.  According to Bloomberg.com: PlayStation 3 sales have quadrupled since the company cut the price to $499 from $599 and introduced a $399 model, Otzman said. Wii has been the top-selling console since its introduction a year ago. Close substitutes […]