1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Aleonysh [2.5K]
3 years ago
5

A fall in the price of a product might cause a household to shift its purchasing pattern away from substitutes toward that produ

ct.
This shift is​ called _____________.
Business
1 answer:
ad-work [718]3 years ago
4 0

Answer:

The correct answer is: substitution effect.

Explanation:

The price of a product is inversely related to the quantity demanded. This implies that an increase in the price will cause the quantity demanded to decrease and vice versa.  

The consumers always prefer a cheaper substitute. So in case of a price rise of a product, the consumers will move to a  substitute at lower price.  

If there is a fall in the price of the product, the consumers will move away from the substitute to the product.  

This is known as the substitution effect.

You might be interested in
Which market(s) has no competition
Lubov Fominskaja [6]
I think it's B. not entirely sure
8 0
3 years ago
Read 2 more answers
Draw a Laffer curve. Label it. Draw a point on the curve at the tax rate that generates the maximum tax revenue. Label it ​T*. D
serious [3.7K]

Answer: Theoretically A

Explanation:

One implication of the Laffer curve is that reducing or increasing tax rates beyond a certain point is counter-productive for raising further tax revenue.

. In the United States, conservatives have used the Laffer Curve to argue that lower taxes may increase tax revenue. However, the hypothetical maximum revenue point of the Laffer curve for any given economy cannot be observed directly and can only be estimated – such estimates are often controversial.

4 0
3 years ago
At Spring Fresh, water is added at the beginning of the filtration process. Conversion costs are added evenly throughout the pro
ra1l [238]

Answer:

The solution and complete explanation for the above question and mentioned conditions is given below in the attached document.i hope my explanation will help you in understanding this particular question.

Explanation:

5 0
3 years ago
The McKnight Company expects sales in 2015 of 208 comma 000 units of serving trays. McKnight​'s beginning inventory for 2015 is
WARRIOR [948]

Answer:

units required to be produced 217,000

Explanation:

expected sales for the period  208,000

desired ending inventory       <u>     27,000    </u>

total units required                    235,000

beginning units                       <u>    ( 18,000 )  </u>

units required to be produced 217,000

The company needs units to fullfil teir sales bdget and desired ending invenoty.

the beginning inventory already complete a portion of the requirement so is the difference what determinates the required units to be produced.

6 0
3 years ago
What are the three components of a basic accounting equation? Should a basic accounting formula balance at all times ? If yes ex
Kamila [148]
The formula is: Assets = Liabilities + Shareholders' Equity. The three components of the basic accounting formula are: Assets. These are the tangible and intangible assets of a business, such as cash, accounts receivable, inventory, and fixed assets
7 0
3 years ago
Other questions:
  • lpha Corporation is interested in expanding its operations to South Africa. Alpha finds a South African company that is in a sim
    8·1 answer
  • On January 1 Revis Consulting enters into a contract to complete a cost reduction program for Green Financial over a six-month p
    13·1 answer
  • Presented below is information related to Equipment owned by Bobcat Manufacturing, Inc. at December 31, 2019.
    11·1 answer
  • Select all of the following that describes Andrew Carnegie.
    8·2 answers
  • What reasons might people have to go into debt? Give two examples. <br> HRGGGGGHH
    8·2 answers
  • Is it true or false that Entrepreneurs often work long hours, but they enjoy great job satisfaction.
    14·1 answer
  • 6. Respirators must be certified by the National Institute for Occupational Safety and Health, or NIOSH, and used in compliance
    9·2 answers
  • Adjusting Entries On May 31, the following data were accumulated to assist the accountant in preparing the adjusting entries for
    5·1 answer
  • In the _________, the perfectly competitive firm will seek out ________________________.
    7·1 answer
  • The night-riding organization determined to limit the political and economic gains of freedmen during reconstruction was the?
    7·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!