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The substitution effect is the decrease in sales for a product that can be attributed to consumers switching to cheaper alternatives when its price rises....
The substitution effect describes how consumption is impacted by price changes or increases in a consumer's relative income. As income increases, Inferior goods are...
The substitution effect refers to the change in demand for a good as a result of a change in the relative price of the good compared to that of other substitute goods. For example, when the price of a good rises, it becomes more expensive relative to other goods in the market.
The substitution effect refers to a concept in economics that interprets why a consumer increased, reduced, or stopped buying a certain product when its price increased or decreased compared to its substitutes. The intensity of the effect depends on how close the substitutes are.
In economics and particularly in consumer choice theory, the substitution effect is one component of the effect of a change in the price of a good upon the amount of that good demanded by a consumer, the other being the income effect.