The question is referring to Cyclone Larry, which occurred where approximately 90% of australia's commercial banana crop is grown. As result of the cyclone, the price of banana's increased from $2 to $15 per kg.
Here is the q! Some have argued that the government should have controlled the price of bananas after the cyclone at the pre-cyclone price. Use a supply and demand diagram to analyse the consequences of such a price control.
Please if you could help me answer the question, and mention the key points i should mention, i would greatly appreciate it.
Thanks.
Here is the q! Some have argued that the government should have controlled the price of bananas after the cyclone at the pre-cyclone price. Use a supply and demand diagram to analyse the consequences of such a price control.
Please if you could help me answer the question, and mention the key points i should mention, i would greatly appreciate it.
Thanks.