Posts Tagged ‘law of demand’

  • Peanut prices respond to demand and supply

    Peanut Butter Economics

    Oct 20, 12 • 631 Views • No Comments

    Last year, we had a peanut shortage. As a result, Skippy raised its prices and Smucker’s removed its reduced-fat creamy peanut butter spread from supermarket shelves. But now, supply has responded. Predicting a record year, the USDA says the peanut......  [read more]

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    Gas Tax or CAFE?

    Sep 22, 12 • 674 Views • 1 Comment

    The goal is energy conservation. But what is the best way? During the end of August, our newest fuel economy standards were announced. Now CAFE, our Corporate Average Fuel Economy mandate, is close to 29 miles per gallon. The goal is 35.5 for 2016 and 54.5......  [read more]

  • Industries afflicted with Baumol's Disease have slower productivity growth.

    Affordable (Cambodian) Health Care

    Jun 16, 12 • 520 Views • No Comments

    A village in Cambodia had problems with affordable health care but they found a solution. Traditionally,  if someone got sick, the gods had to be appeased with an offering that might include a buffalo, a cow, some bananas, incense, rice wine, a chicken. It......  [read more]

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    Venezuela’s Economic Problems

    Jul 20, 11 • 1481 Views • No Comments

    Venezuela has 2 basic economic problems: The law of supply: Because price and quantity move in the same direction, if price goes down, then producers provide less. This takes us to Venezuela’s 27.1% inflation rate. President Hugo Chavez responded by......  [read more]

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    Hot Spotting Medical Care

    Jan 28, 11 • 665 Views • No Comments

    These are the statistics: 900 people; 4,000 hospital visits; $200 million in medical bills from January 2002 through June 2008. The place is Camden, N.J. where a relatively small number of people were responsible for a huge proportion of the city’s......  [read more]