Question

Mention two types of substitute goods​

Answer 1

Answer:

indirect and direct. A direct substitute is whereby two products can be readily exchanged for one another. Think of Pepsi and Cola. By contrast, an indirect substitute is where two goods can still be replaced by one another, but have a weak correlation.

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Answer 2

Explanation:

The substitute goods can be defined as the goods which can be used interchangeably to satisfy the same requirement of consumers.

examples:

. butter and margarine

. Tea and coffee

. coke and Pepsi