BUS 210 Week 1 DQ Alternative answer

BUS 210 Week 1 DQ Alternative answer - abundant supply to...

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BUS 210 Week 1 DQ #1 Your friend has asked you why the price of bananas is higher during certain times of the year. Using what you have learned about the laws of supply and demand, explain to your friend how the market affects price. There are several key reasons that might affect the price of bananas: poor harvest, pest problems, gas prices, etc. I would remind my friend that bananas are typically grown in warm, humid regions. If the banana crops in these regions were damaged by frost, there would be less yield. This in turn would drive the price higher as there is a less
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Unformatted text preview: abundant supply to be purchased by the consumer. The same would apply if there was damage to the crops due to pestilence or disease. Gas prices would also affect the price of bananas as we've seen with other staples over the past few years. If it is more expensive to ship the bananas, the cost to the consumer will be higher. Supply and demand governs what we as consumers pay for the goods and services we purchase....
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