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    Substitution and Law of Demand

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    The price of meat falls in the market. Apply the substitution and income effects to the purchase of meat given the lower price. How is this related to the law of demand? Hint: use chicken as a substitute good in your discussion.

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    The substitution effect makes the demand curve slope downward from left to right. If the price of meat falls and the price of other substitute goods such as chicken ...

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    This solution provides a detailed explanation of the given economics problem.