Answer:
Substitute Effect
Explanation:
When a product's price increases, it becomes relatively expensive compared to its alternatives. The high price will encourage consumers to choose other goods that are relatively cheaper. Consequently, the price increase reduces the demand for the product while increases the demand for its substitutes.
The substitution effect describes how consumption is affected by an increase or a decrease in a product's price.
Answer:
Gentrification can cause low rents, immigration, and increasing population.
Explanation:
Yes, stores should be forced to obey minimum prices for a good or a company that is selling a service should as well. They should have to obey by this so that price competition isn't ongoing in the market. Larger producers can often charge a smaller amount for a product because they are producing them in high qualities. By charging less it gives them a competitive advantage over their competition in means of price. Unless the item is on clearance because a company is discontinuing stock of that item, they should have a set minimum as they do a set maximum they are allowed to charge for that item.
The answer is that the given statement is True.
When firm has achieved greatest creation limit, firm should make extra speculation to extend generation plants and to accomplish this , firm should build the costs of the item which will influence the supply versatility.
The supply of the product tend to be more inelastic when the prices of the goods are high. Supply inelasticity is caused by the sudden change of the price of goods needed to release the supply and more often than not, that change of price is a price hike; meaning, the increase of price reasonable or not.
