For example, if it were possible to exchange soap for salt and the price of soap drops, then you will need more soap to exchange for salt. Therefore, you can exchange salt for more soap, resulting in a freed up income margin resulting from the difference between a unit of soap and a unit of salt. You might get one and a half bars of soap for a pound of salt versus before one bar of soap for a pound of salt. As such, half represents the substitution effect. In a real-life scenario, the price of a four-pack of Blue Sky natural cola at Walmart was $43.08 and could be exchanged for a four-pack of Organic Cola soda that cost about $42. However, the Blue Sky Natural Cola has undergone a price cut that brought its price to $15.79. Therefore, you can outweigh the two to four packs of Blue Sky natural cola by swapping one to four packs of the very organic cola soda. The extra group of four is a true representation of the substitution effect. This particular graphic illustrates the substitution