Substitution involves replacing values in one equation into another equation to solve for unknown values. The document provides an example of using substitution to solve the equations x=7-y and x=y-3 for values of x and y. Moving values involves changing the signs (e.g. from + to -) of terms when rearranging terms in an equation to solve for a particular variable. The document walks through using substitution and moving values to solve the example equation y-3=7-y.