Final answer:
The statement is false because Ohm's law states that current is directly proportional to voltage; thus, a decrease in voltage would lead to a decrease in current if resistance remains constant.
Step-by-step explanation:
The statement 'Decreasing the applied voltage to a circuit would cause the current to increase' is false. According to Ohm's law, the current (I) flowing through a conductor between two points is directly proportional to the voltage (V) across the two points and inversely proportional to the resistance (R) of the conductor. The law is mathematically represented as I = V/R. Hence, if the applied voltage is decreased and the resistance remains constant, the current will also decrease.
It is also important to note that the power dissipated in a circuit, which is given by the product of the voltage and current (P = IV), could be increased by reducing the resistance while keeping the current constant, rather than reducing the voltage.