The table shows the prices that Terry paid for some of his expenditures in June and July 2019. Price in July (dollars per unit) Price in June Explain and discuss why these prices might have led to commodity substitution or outlet substitution. Item On the basis of these price observations, commodity substitution and outlet substitution might have occurred when consumers bought more Steak 4.11 4.01 in July because they had become relatively expensive. Bread 3.25 3.12 Васоn 3.62 3.64 OA steak and bread; less Milk 2.62 2.62 O B. bananas and lettuce; less Tomatoes 1.60 1.62 Apples 1.18 1.19 OC. steak and lettuce; less Bananas 0.62 0.66 OD. steak, bread, and lettuce; more Chicken 1.28 1.26 Lettuce 1.64 1.68

The table shows the prices that Terry paid for some of his expenditures in June and July 2019. Price in July (dollars per unit) Price in June Explain and discuss why these prices might have led to commodity substitution or outlet substitution. Item On the basis of these price observations, commodity substitution and outlet substitution might have occurred when consumers bought more Steak 4.11 4.01 in July because they had become relatively expensive. Bread 3.25 3.12 Васоn 3.62 3.64 OA steak and bread; less Milk 2.62 2.62 O B. bananas and lettuce; less Tomatoes 1.60 1.62 Apples 1.18 1.19 OC. steak and lettuce; less Bananas 0.62 0.66 OD. steak, bread, and lettuce; more Chicken 1.28 1.26 Lettuce 1.64 1.68

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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