Posts Tagged ‘law of supply’

  • Peanut prices respond to demand and supply

    Peanut Butter Economics

    Oct 20, 12 • 255 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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    Venezuela’s Economic Problems

    Jul 20, 11 • 475 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]