Examlex
Which occurred during the election of 1828?
Diminishing Marginal Rate
The principle that as the quantidade of a variable input increases, with all other inputs fixed, a point will be reached where the additions to output will begin to decrease.
Substitution
The economic principle describing how consumers or producers replace one good or service with another in response to changes in price or other factors.
Substitution Effect
The substitution effect describes a change in consumption patterns due to shifts in relative prices, where consumers prefer cheaper alternatives when the price of a good rises, keeping their utility level constant.
Inferior Good
A type of good for which demand decreases as the income of the consumer increases, in contrast to a normal good.
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