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When the price of a good rises, one effect of this change in price is that some consumers switch to more affordable substitutes, which help us understand the law of demand. What is this effect called?

When the price of a good rises, one effect of this change in price is that some consumers switch to more affordable substitutes, which help us understand the law of demand. What is this effect called?

  1. Marginal utility effect
  2. Substitution effect
  3. Price effect
  4. Income effect

May 11 2021 View more View Less

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