When a Good Has a Unitary Price Elasticity, Consumer Expenditures

question 15

Multiple Choice

When a good has a unitary price elasticity, consumer expenditures for the good

• A) change in the same direction as a price change.
• B) change in the opposite direction to a price change, but not necessarily by the same percentage as the price change.
• C) do not change when the price of the good decreases.
• D) change in the opposite direction and by the same percentage as any price change.

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Definitions:

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A piece of cloth, often elaborately decorated, used in funeral ceremonies as part of the burial rites to signify honor or represent the deceased.

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