Question: Why are firm-specific demand price elasticities higher than elasticities for demand in general? Why does a high firm-specific price elasticity indicates a competitive marker? Interpret the elasticities presented below and explain how such interpretation illustrates the answers to your previous questions:
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Firm-specific price elasticities
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Dependent variable
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Price elasticity
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Physician visits
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-3.26
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Price elasticities (overall demand
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Dependent sari:4k
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PS elasticity
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Physician visits per capita
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-0.15
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