If the price of a resource falls, other things constant,
A)demand for the product it produces will increase
B)demand for a substitute product will increase
C)demand for a substitute resource will fall
D)supply of that resource will rise
E)supply of a substitute resource will also rise

Question

Quizplus · Accepted Answer

When the price of a resource falls, the demand for a substitute resource will fall because the cheaper resource becomes more attractive to use.

If the Price of a Resource Falls, Other Things Constant