Question

As the price of a good increases, all else being equal, consumers will likely purchase _____.(1 point)

more of the good because substitutes have become relatively less expensive

less of the good because substitutes have become relatively more expensive

less of the good because substitutes have become relatively less expensive

more of the good because substitutes have become relatively more expensive

Answer 1

less of the good because substitutes have become relatively less expensive

Explanation: When the price of a good rises, it becomes relatively more expensive than its substitutes, so consumers shift toward the now relatively cheaper substitutes and buy less of the original good.