ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -What Is a Substitute? A substitute, or substitutable good, in economics and consumer theory refers to a product or service that consumers see as essentially the same or similar-enough to another product. Put simply, a substitute is a good that can be used in place of another.

Detailed explanation-2: -A substitute product is any alternative, replacement or endorsement of goods on the market. In other words, it is a product or good that acts as a replacement or alternative to a more popular item without noticeably affecting the composition or appearance, or the usefulness of the resulting product.

Detailed explanation-3: -The Correct Answer is D. Tea and Coffee are considered substitutes goods because when the price of tea rises, people will be less willing to consume tea and look for its substitutes. In that case, people will switch to coffee which is less expensive to consume. Hence, these goods are considered substitutes.

Detailed explanation-4: -Butter and margarine. Physical books and e-books. Sandals and flip-flops. Tuna and salmon. Steel-toe boots and composite-toe boots. Minivans and sport utility vehicles. Earrings and necklaces. Eyeglasses and contact lenses. More items •03-Feb-2023