Final answer:
A rebate is truly a purchase price adjustment, offering a price reduction to the buyer after the purchase, and is used as a promotional strategy. When a shopper gets a good deal, an economist might refer to it as 'consumer surplus'.
Step-by-step explanation:
A rebate is considered a purchase price adjustment, making the initial statement true. It is a financial incentive offered by a seller to a buyer, usually as a reduction in the price after the purchase has been completed. Rebates are often used as a promotional strategy to increase sales or to clear out old inventory. From an economic point of view, when a shopper gets a "good deal" on a product due to a rebate or other factors, the term used to describe this situation could be consumer surplus, which occurs when the price that consumers pay for a product is less than the price they are willing to pay.