Generally,as Goods Are More Broadly Defined

question 55

Multiple Choice

Generally,as goods are more broadly defined,

• A)demand becomes more price elastic
• B)demand becomes less price elastic
• C)total expenditure falls as the price decreases
• D)the demand curve becomes straighter
• E)more substitute goods can be identified

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Definitions:

Vertical Axis

The vertical number line of a graph along which values of the y-variable are measured; also referred to as the y-axis.

Linear Relationship

The relationship between two variables in which the slope is constant and therefore is depicted on a graph by a curve that is a straight line.

Quantity Supplied

The total amount of a good or service that producers are willing and able to sell at a particular price over a specified period.

Quantity Demanded

The overall volume of a good or service that buyers are eager and capable of acquiring at a certain price within a specific period.