Definition of Substitute goods:
Different goods that, at least partly, satisfy the same needs of the consumers and, therefore, can be used to replace one another. Price of such goods shows positive cross-elasticity of demand. Thus, if the price of one good goes up the sales of the other rise, and vice versa. Also called substitutes.
How to use Substitute goods in a sentence?
- You should always know what you can possibly use as substitute goods in case of an emergency where you cant get your normal resource.
- Jane purchases margarine instead of butter because it is an exaple substitute goods , meaning it is similar to butter yet costs less.
- We had a lot of substitute goods and that made me nervous and that made my father explain to me that it was okay.
Meaning of Substitute goods & Substitute goods Definition