--%>

Explain the following from Hull, England a news dispatch

Explain the following from Hull, England a news dispatch: “The fish market here slumped today to what local commentators called a ‘disastrous level’—all because of a shortage of potatoes”.

E

Expert

Verified

The shortage of potatoes either meant they were not available in the required quantities at any price (i.e., that the quantity demanded greatly exceeded the quantity supplied at the market price, for that is how a “shortage” is defined) or that there was an exceptional scarcity of potatoes so that their price was far above normal.  In several occasion, restaurants might not get enough potatoes at what they considered profitable prices.

Fish and chips are complements.  The sharp increase in the price of potatoes (because of decreased supply) has led to a decreased demand for fish and to a subsequent drop in its price to “a disastrous level.”

   Related Questions in Business Economics

  • Q : Illustrate Freedom of enterprise and

    Illustrate Freedom of enterprise and choice exist?

  • Q : Gross domestic product Question Would

    Question Would "Victory Points" be a measure of player's "GDP"? If not, then how would you calculate a player's GDP?

  • Q : What does financial leverage specify

    What does financial leverage specify? And also states its limitations?

  • Q : What is the opportunity cost of

    What is the opportunity cost of attending college?  In 2000, nearly 80% of college-educated Americans held jobs, whereas only about 40% of those who did not finish high school held jobs.  How might this difference relate to opportunity costs?

  • Q : Fixed costs and Variable cost

    Questions: 1: Which of the following are likely to be fixed costs and which variable costs for a chocolate factory over the course of a month?  Explain your choice.

    Q : Demand often exceeds supply and supply

    “In the corn market, demand often exceeds supply and supply sometimes exceeds demand.” “The price of corn rises and falls in response to changes in supply and demand.” Among these 2 statements used correctly which in the terms “supply&rdq

  • Q : Best illustration of a perfectly

    Which of the given is the best illustration of a perfectly competitive industry: w) wheat production. x) steel production. y) electricity production. z) airplane production. Hey friends please give your opinion for

  • Q : Example of public goods Drinking at a

    Drinking at a public water fountain is: (w) a public good because anyone may drink from it. (x) results in a negative externality because others can’t drink from this at similar time. (y) a positive externality because you are benefiting by other’s provisi

  • Q : Mixed Economy Define the term Mixed

    Define the term Mixed Economy and also state their advantages and disadvantages?

  • Q : The Economics Of Property And

    There are THREE questions in this assignment. The overall word length for this assignment should be in the range of 2,000-2,500 words. You may incur a penalty if you exceed the upper value. You must state the total number of words