If the Price Elasticity of Demand for Moose Hunting Lessons

question 307

Multiple Choice

If the price elasticity of demand for moose hunting lessons is 4.23,then the demand for moose hunting lessons is

• A) elastic.
• B) unit elastic.
• C) inelastic.
• D) perfectly unit elastic.
• E) perfectly elastic.

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Definitions:

Balanced Budget

A financial plan whereby revenues and expenditures are equal, resulting in no deficit for the given period.

Business Cycle

The fluctuations in economic activity that an economy experiences over a period of time, typically characterized by periods of boom and recession.

Balanced Budget Rule

A fiscal policy regulation requiring that a government's spending does not exceed its income in a given period.

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A period of economic decline across an economy lasting several months, typically recognized by a decrease in GDP, income, employment, and trade.