Account for the failure to establish the prices of consumer products in your country.
- Availability of consumer goods. Scarcity of goods leads to high process and vice versa.
- Trade liberalization. Prices are determined by demand and supply.
- Production cost. High productions costs lead high costs of consumer goods
- Tastes preference. Goods with high tastes preference lead to high demand and high prices
- Consumer’s income; increase in consumer’s income lead to increase in demand and hence increase in prices.
- Prices of imported goods are determined by the costs of importation and import taxes.
- Seasonal demand. Seasonal changes determine demand and prices e.g. umbrella and rainy season.
CATEGORIES Economics
TAGS Dr. Bbosa Science
