nich of the following statements relating to demand and supply is false? The substitution of higher-priced item with lower-priced goods by buyers is a reason why the quantity demanded of a good decreases when price increases. O The demand curve of a good represents the value that individual buyers place on that good. Based on the income effect, the real income of buyers increases when the price of a good increases, and hence the quantity demanded of a good increases with price. The supply curve of a good represents the opportunity costs to produce and sell the good for individual sellers of that good.
nich of the following statements relating to demand and supply is false? The substitution of higher-priced item with lower-priced goods by buyers is a reason why the quantity demanded of a good decreases when price increases. O The demand curve of a good represents the value that individual buyers place on that good. Based on the income effect, the real income of buyers increases when the price of a good increases, and hence the quantity demanded of a good increases with price. The supply curve of a good represents the opportunity costs to produce and sell the good for individual sellers of that good.
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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![nich of the following statements relating to demand and supply is false?
The substitution of higher-priced item with lower-priced goods by buyers is a reason why the quantity demanded of a good decreases when price
increases.
The demand curve of a good represents the value that individual buyers place on that good.
Based on the income effect, the real income of buyers increases when the price of a good increases, and hence the quantity demanded of a good
increases with price.
O The supply curve of a good represents the opportunity costs to produce and sell the good for individual sellers of that good.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F1a43e387-fd4d-41eb-844d-27144b9b6924%2Faf62bd7e-620c-42f5-92cf-a6d7badfcb71%2Fiunojq_processed.jpeg&w=3840&q=75)
Transcribed Image Text:nich of the following statements relating to demand and supply is false?
The substitution of higher-priced item with lower-priced goods by buyers is a reason why the quantity demanded of a good decreases when price
increases.
The demand curve of a good represents the value that individual buyers place on that good.
Based on the income effect, the real income of buyers increases when the price of a good increases, and hence the quantity demanded of a good
increases with price.
O The supply curve of a good represents the opportunity costs to produce and sell the good for individual sellers of that good.
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