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
5.9k 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
6.6k points
Ask a Question
Welcome to QAmmunity.org, where you can ask questions and receive answers from other members of our community.

7.3m questions

9.7m answers

Other Questions

In what way did the GI Bill contribute to the growth of professional and white-collar jobs ? A.by providing US laborers with new job-training programs B.by giving US veterans assistance to purchase a new
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?
Identify the advantages and disadvantages of a command economy.
Link Copied!