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The substitution effect is the portion of a change in quantity demanded that is due to a change in the relative price of the good.

Question 8 options:

True

False

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4 votes

Answer:

Option A.) TRUEE

Step-by-step explanation:

User Dedek Mraz
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2 votes

Answer:

True

Step-by-step explanation:

The Substitution Effect is the effect on the demand of a certain product because of variations of the prices of the product or the income of households. The concept illustrates how quantities demanded of a product decrease as the population find other products to substitute it.

User Jonathan Southern
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