What would be the economic impact on energy prices if low-cost solar power were to become a viable energy source in households across Canada?
A)Prices would increase, as this is a new energy source.
B)Energy costs across the country would increase with adoption of the new energy source.
C)Housing prices would decrease, as new homes are built with this new energy source.
D)Prices would decrease, as competition increases in energy production.

Question

Quizplus · Accepted Answer

The introduction of low-cost solar power as a viable energy source would increase competition in the energy production market, potentially leading to decreased prices for consumers. This is supported by the principle of supply and demand, where an increase in the supply of a certain good or service typically leads to a decrease in price.

What Would Be the Economic Impact on Energy Prices If