When the price of Nike soccer balls fell, Ronaldo purchased more Nike soccer balls and fewer adidas soccer balls. Which of the following best explains Ronaldo's decision to buy more Nike soccer balls?

The Substitution Effect

Explanation:

Substitute goods are those goods which can be used as perfect replacement for one another to satisfy a want.

There is a direct relationship between price of a good and the demand of it's substitute. So when price of a good falls, the quantity demanded of it's substitute falls and vice versa keeping factors affecting demand other than price as constant.

Similarly, in the given case, Nike and Adidas soccer balls are perfect substitute products. So when price of Nike fell, its quantity demanded increased while the quantity demand for Adidas soccer balls reduced.

two years ago, when picking flowers in the mountains back of yosemite valley, i found a book. it was blotted and storm-beaten; all of its outer pages were mealy and crumbly. the paper seemed to dissolve like the snow beneath which it had been buried, however; many of the inner pages were well preserved. and although all were more or less stained and torn, whole chapters were easily readable. this is the condition of the great open book of yosemite glaciers today; its granite pages have been torn and blurred by the same storms that wasted the castaway book.

two years ago, when picking flowers in the mountains back of yosemite valley; i found a book. it was blotted and storm-beaten, all of its outer pages were mealy and crumbly. the paper seemed to dissolve like the snow beneath which it had been buried, however, many of the inner pages were well preserved. and although all were more or less stained and torn; whole chapters were easily readable. this is the condition of the great open book of yosemite glaciers today, its granite pages have been torn and blurred by the same storms that wasted the castaway book.