The situations where the surplus quantity of a product led to decreased prices are potatoes in Ireland, whereas shortage leading to increased prices can be explained with fuel prices.
The fuel prices are increasing globally day by day due to the shortage of fossils and crude oils, whereas potatoes are produced in abundance in Ireland due to the suitable conditions of growth.
Change in prices of products
- Potatoes are produced in surplus in Ireland due to the suitable conditions and environment required for the growth of potatoes in the region, which has led to the prices of potatoes being extremely low.
- Shortage of crude oil globally has led to the increase of the prices of fuels like petrol and diesel, which are made from processing crude oil. The prices, thus, show an increase.
Hence, prices of potatoes in Ireland due to surplus and that of crude oil due to shortage are the two perfect examples that lead to the change in price of such commodities.
Learn more about change in price here: