Register
when the price of a good rises, consumers will stop buying the more expensive goods and switch to substitutes. this behavior is explained by a. income effect. b. substitution effect. c. purchasing power
47.5k views
1 vote
when the price of a good rises, consumers will stop buying the more expensive goods and switch to substitutes. this behavior is explained by a. income effect. b. substitution effect. c. purchasing power effect. d. the demand effect.

User Saqib Amin
by
7.9k points

1 Answer

5 votes
Purchasing power effect

NOTE THIS!!
ANY EFFECT OTHER THAN PURCHASING EFFECT ARE AFFECTED BY NON PRICE FACTORS.
User Pablosproject
by
8.0k points
← Prev Question Next Question →

Related questions

Ask a Question
Welcome to QAmmunity.org, where you can ask questions and receive answers from other members of our community.

9.5m questions

12.2m answers

Other Questions

What can turn igneous rock into sediment?
What is meant by data mining ?
What is the best way to describe a stock market?
You sell popcorn during your schools football games. Knowing that the people usually buy more when the price is lower, how would you price your popcorn after halftime?
The government’s involvement in economy serves what two purposes?
Link Copied!