![Economics 101: Substitution Effect](https://i0.wp.com/sterlingterrell.net/wp-content/uploads/2017/01/1-33.jpg?fit=638%2C358&ssl=1)
[This is part of the series: The Complete Guide To Economics 101.]
What is the substitution effect?
The Substitution Effect is a change in consumption when a customers preferences move up or down, along, an indifference curve.
For example:
I might be indifferent between eating four pizzas or two cheeseburgers per week.
But if the price of pizza increases, I might then be indifferent between another combination involving less pizza and more cheeseburgers.