The Substitution Effect of a Price Decrease for a Good

question 5

True/False

The substitution effect of a price decrease for a good causes an increase in the consumption of the good, regardless of whether the good is normal or inferior.

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Definitions:

Absorption

The process by which substances are taken up or assimilated into the body or into cells.

Disease Transmission

The process by which infectious diseases spread from one individual to another, through direct contact, vectors, or environmental means.

Inhalation

The act of breathing in; the intake of air or other substances into the lungs.

Ingestion

The process of taking food, drink, or another substance into the body through the mouth.