Research Paper on:
Student Posed Cases and Questions on Economics

Unformatted Sample Text from the Research Paper:
in debt. A. The first root case is the way in which the supply and demand equilibrium that has existed was upset. In any market the process that is gained for  goods will be the result of where the supply and demand meet, and supply equals demand. The balance had been in equilibrium for many years. However, with a sharp increase  in coffee production in South Vietnam was very influential. From producing only 84,000 tons in 1990 by the year 2000 there was 950,000 tons produced. The situation is one here  there is a commodity with high prices, as seen in 1997 when there was an economic shook and a great reduction in the supply due to frosts in Brazil, this  attracts more suppliers seeking to gain the high profits. As the supply dropped due to the frosts the demand exceeded the supply and the way in which this increased prices  can be seen in figure 1 with the movement of the price from P to P1. Figure 1; Decrease in Supply Graph  When the coffee supply increased again, with the recovery from the frost the supply had increased in South Vietnam as well as the reintroduction of the Brazilian coffee sent  the price back to P and then took the supply line even further to the right casing the equilibrium point with price to occur even lower. B. The second cause  of the graph may be seen as way in which the market was made up., The fall in prices occurred as the cartel that had held prices high collapsed. The  impact of a cartel may be to hold the different producers together so that there is a constant price. In graph from this would be represented and the demand line