Shift and lag operations in data science move data in a column up or down by a number of rows. Using pandas in Python, the shift() function moves values down by n rows, creating a lag effect. For example, shift(1) moves all values down by one row, making the first row NaN because it has no previous value. This is useful to compare current data with past data in time series analysis. Negative shifts move data up, creating lead values. After shifting, the new rows created at the edges are filled with NaN to indicate missing data. This visual trace showed step-by-step how the shift function changes the data frame and how variables update.