The Largest Budgetary Expense for a Typical State or Local

question 46

Multiple Choice

The largest budgetary expense for a typical state or local government is

• A)public order and safety.
• B)welfare.
• C)highways.
• D)education.

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Definitions:

Income Elasticity

A measure of how much the demand for a good changes in response to a change in consumers' income.

Inferior Good

A type of good for which demand decreases as the income of the consumer increases, in contrast to a normal good.

One-Of-A-Kind

An item or phenomenon that is unique and has no identical counterpart.

Perfectly Inelastic

A market condition where the quantity demanded or supplied does not change regardless of price fluctuations.