The Key Feature of a Diary Panel Is That a Representative

question 1

True/False

The key feature of a diary panel is that a representative group of individuals or households keeps track of purchases made or products consumed over a given period of time.

---

Definitions:

Substitution Effect

The economic principle that as the price of one good increases, consumers will replace it with a cheaper alternative, holding utility constant.

Price Change

A variation in the cost of goods or services over time, which can result from factors like supply and demand, inflation, or market dynamics.

Income

The amount of money received on a regular basis from work, property, investments, or government benefits.

Utility Function

A mathematical representation of how consumers derive satisfaction from goods and services, assigning numerical values to different bundles of goods.