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What is Income and Substitution Effects Explained about?

The passage discusses the income and substitution effects that result from a change in the price of a good. It defines the substitution effect as a change in consumption of one good based on the price change of another good, holding utility constant. The income effect is a change in consumption due to a change in real income from the price change. These effects are depicted graphically using indifference curves and budget lines to show the total, substitution, and income effects for normal goods, inferior g

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