Which statement describes the substitution effect?

As demand falls, people will substitute other products.

As the price of a good rises, people will substitute other products.

As demand rises, people will substitute other products.

As the price of a good falls, people will substitute other products.

Question

Amiyah

28 October, 13:29

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Answers (1)

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Jared Snyder · Answer 1

As the price of goods rises, people will substitute other products.

Which statement describes the substitution effect?As demand falls, people will substitute other products.As the price of a good rises, people will substitute other products.As demand rises, people will substitute other products.As the price of a good falls, people will substitute other products.