If a Consumer's Total Expenditure on a Good Does Not

question 211

True/False

If a consumer's total expenditure on a good does not vary with price, then that consumer's demand curve is unit elastic over that range of prices.

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Definitions:

Budget Surplus

A situation where income or revenues exceed expenditures over a specified period of time.

Aggregate Demand

Aggregate demand represents the total demand for goods and services within an economy at a given overall price level and time period.

John Maynard Keynes

A British scholar in economics whose contributions had a profound impact on how macroeconomics is understood and applied by governments.

Unemployment Rate

A measure indicating the proportion of the workforce that is not employed but is actively seeking work and willing to work.