 And that is the Hicks substitution effect. What is the Hicks substitution effect? Actually, it is the substitution effect that we mayors along the compensated demand curve. Mostly we see that whenever the price of a commodity change, keeping the money income and the price of the other goods constant, we see that the budget line it pivots. If the price decreases of the commodity X and now the consumer will have the opportunity that its real income increase so the budget line will pivot outward. If price increases then the original budget line it will pivot inside. So in the assessment of the Hicks substitution effect, we will not now check its movement along the original bundle rather we will pivot this budget line around the total indifference curve. So now when we see this diagram, we see that the consumer is having one budget line expressed here and this indifference curve and on in this difference curve consumer is having bundle A that is his original optimal choice bundle and on this optimal choice bundle he was having the slope of the budget line in the form of price of Y divided by price of X but now if the price of X it decreases so with the decrease in the price of X now we see that price of Y divided by price of X this slope it will become more and now this budget line it pivots out in the form of this. So when it pivots out in the form of this now what we see that we draw a parallel line around this indifference curve so this pivoted budget line or the hypothetical budget line is having the similar slope that of this line that we have attained with the change in the price but this line has not pivoted here rather it has pivoted around this whole indifference curve. In this manner now the consumer is provided the opportunity that consumer can have any bundle on this the same indifference curve this or this or this or this like anyone but depending upon the slope of the next budget line if instead of this consumers budget line might be it was like this if the price of X was so decreased that instead of this it would come on this budget line so if we draw an equal budget line then it will become like this. As we draw a budget line or slope so in this form consumer was having the opportunity to go A prime but now this is the slope of this budget line and it provides the consumer opportunity to attain this point of the B so the movement of the consumer with the change in the price along the same indifference curve is actually through the substitution effect and that substitution effect is along the same indifference curve so it means in the Hixian substitution effect what we are going to deal it is not the value of the absolute price changes rather it is the change in the relative prices and through the change in those relative prices now we see that how with the change in the price the slope of the budget line is going to change and with the change not only the slope how the real income of the consumer has changed with the decline in the slope now the consumer adjusts accordingly with the decreasing of his real income in the form that he decreases the purchase of certain goods and by the increase of the purchase of the certain other goods. At this increase of the real income because as the real income increased due to the decrease in the price for this now consumer attains a point that where he already purchased some amount of the previous bundle and some additional that he is going to purchase on the same Hixian substitution effect the main point that we have to consider that it is a substitution of the consumer between the two points on the same indifference curve that ensure that the consumer is indifferent between these two points that consumer is facing two budget lines but he is moving on the same indifference curve and these two budget lines show the two different slopes of the budget line so it provides the opportunity to the consumer to switch from one slope to the other slope thank