S&D

(text-style:"wavy-underline","emboss","expand","fade-in-out")[Welcome to Fitzgerald's Food Forum! ] I'm so glad you're here! We've needed someone who really understands supply and demand to help us turn this business around! My name is Frankie Fitzgerald and I have owned this store for years, but I slept through my social studies classes, so I really don't understand how the economy works. I pretty much only understand bread. I heard you were in a social studies class at PVM, so I bet you can help me out! Are you ready? (t8n-depart:"pulse")+(t8n-arrive:"pulse")[[Yes->The Baguette Bother]] (t8n-depart:"slide-right")+(t8n-arrive:"slide-left")+(t8n-time:1.2s)[[No->Not Ready?]]

<img src="https://ak.picdn.net/shutterstock/videos/32529670/thumb/1.jpg" alt="baguette" width="250" height="300"> Ahhhhh, baguettes.... When I was young, I once wooed a girl named Odette by baking her fresh baguettes every day. She was so beautiful! But she had a gluten allergy so she refused to eat the baguettes and I was left all alone... Oh, right. We're talking about business here! Baguettes are my favorite bread to bake! I make 342 loaves every single week--one for each day Odette refused my love. They are priceless to me--but business demands I put a price on them, so I have set the price for $53 per loaf. But I never sell them! I haven't sold a single baguette this year! Why don't people want my beautiful baguettes? (t8n-depart:"fade-up")+(t8n-arrive:"shudder")+(t8n-time:2.1s)[[Supply is far too high--that's more baguettes than any store should ever sell in a week!->Baguette Supply]] (t8n-depart:"pulse")+(t8n-arrive:"rumble")+(t8n-time:2.1s)[[Demand at this price is too low. You need to lower the price to get closer to equilibrium.->Baguette Demand]]

You're not ready? Well, let's refresh your memory on a few key terms: ''Supply:'' How much of a good/service sellers want to provide at a certain price ''Demand:'' How much of a good/service customers want to buy at a certain price ''Equilibrium:'' When the supply and demand are the same ''Scarcity: ''When there is not enough supply to meet consumers’ demand for a certain good/service ''Surplus:'' When the supply is higher than consumers’ demand for a certain good/service (t8n-depart:"slide-up")+(t8n-arrive:"zoom")+(t8n-time:1.2s)[[Alright, let's go!->The Baguette Bother]]

''1 week later...'' This didn't work. I lowered the supply like you said, but nobody bought any baguettes. And I broke my lucky streak of 342 baguettes a week. How am I ever supposed to find love now??????? Changing the supply didn't work. I bet the problem is with demand. The demand is just too low. (t8n-depart:"slide-down")+(t8n-arrive:"slide-right")+(t8n-time:2.1s)[[Alright, let's try increasing the demand.->Baguette Demand]]

Hmmm... You're probably right. My baguettes //are// more expensive than the baguettes at other stores. I'll bet the customers are buying baguettes at those places instead! Let's try lowering the price. You know what? I just so happened to see an article in //Grocery Gossip // about baguettes that had some sort of graph on it. Let me go look for it... Ah, here it is. <img src="https://xplaind.com/41255/supply-and-demand.png" width="500" height="600"> Tell me a price and we'll try it for next week. (t8n-depart:"blur")+(t8n-arrive:"zoom")+(t8n-time:2.1s)[[$5.43 per loaf->$5.43]] (t8n-depart:"slide-right")+(t8n-arrive:"slide-left")+(t8n-time:2.1s)[[$2.75 per loaf->$2.75]] (t8n-depart:"shudder")+(t8n-arrive:"slide-right")+(t8n-time:2.1s)[[$1.02 per loaf->$1.02]]

''1 week later.... '' Hey! I sold some baguettes! A few. 3. Three baguettes. I have a feeling this price is still too high for my customers. Let's try again. (t8n-depart:"slide-right")+(t8n-arrive:"slide-left")+(t8n-time:2.1s)[[$2.75 per loaf->$2.75]] (t8n-depart:"shudder")+(t8n-arrive:"slide-right")+(t8n-time:2.1s)[[$1.02 per loaf->$1.02]]

''1 week later...'' Wow! Wow! Wow! Wow! Wow! Wow!!!!!!!!! I made 342 baguettes and sold them for $2.75 a piece and I had exactly 342 people come and buy a loaf over the week! Are you a wizard? Because that price was (text-colour:#ced4da)+(background:(gradient: 359, 0.0119,#7f19e6,0.5,#000000,1,#19e5e6))[(text-style:"smear","expand","sway")[magic!]] (t8n-depart:"flicker")+(t8n-arrive:"flicker")+(t8n-time:2.1s)[[Yeah, actually I just got back from a semester abroad at Hogwarts.->Hogwarts]] (t8n-depart:"shudder")+(t8n-arrive:"shudder")+(t8n-time:2.1s)[[That's not magic...that's economics. We found the equilibrium price!->The Uncertainty of Uncrustables]]

''1 week later...'' Wow! What a week! I sold all of my baguettes within an hour on Monday morning! By noon on Monday, there was a horde of angry customers demanding more baguettes! I'm so glad people want to buy them! But....... I hired you to help me make money. And at $1.02 per loaf, I'm actually losing money. It costs me $1.50 to make each beautiful baguette. I can't continue on like this. Can we try a different price? (t8n-depart:"blur")+(t8n-arrive:"zoom")+(t8n-time:2.1s)[[$5.43 per loaf->$5.43]] (t8n-depart:"slide-right")+(t8n-arrive:"slide-left")+(t8n-time:2.1s)[[$2.75 per loaf->$2.75]]

Really? Oh, you're such a joker. Surely, there's no such thing as magic? Right? Right? Oh, how am I supposed to know? I never even leave this grocery store. (t8n-depart:"slide-right")+(t8n-arrive:"pulse")+(t8n-time:2.1s)[[Haha, yeah. No such thing as magic... ^^* hastily shoves dragon scales, wand, and potions book back in backpack *^^->The Uncertainty of Uncrustables]]

Thank you so much for fixing my baguette problem! I have another problem I need help with. <img src="https://s3.us-east-2.amazonaws.com/jms-s3-mkt-consumer-p-pmc6/tmp/image-thumbnails/smuckersuncrustables/products/thaw-and-eat/image-thumb__5270__auto_8424569699a9940af5f8e97070e2d54b/peanut-butter-and-strawberry-jam.png" width="250" height="250"> Uncrustables. These are such a popular item! I sell hundreds of boxes of Uncrustables each week for $6.86 per box. But I just got some really bad news. The factory that makes these wonderful lazy PB&Js just burned down and I won't be getting a new shipment of Uncrustables for the next forty weeks. First, I need to make a flyer explaining what's happening to my customers. Can you help me? Here's what I have so far: (text-colour:#d6336c)+(background:#f8f9fa)[Attention, loyal customers! The Uncrustables factory burned to the ground. We are now facing a a __________ of these delicious sandwiches. Please be patient as we wait for our next shipment! Thanks, Frankie Fitzgerald] What word should go in the blank? (t8n-depart:"slide-left")+(t8n-arrive:"zoom")+(t8n-time:2.1s)[[Surplus->Uncrustable Surplus]] (t8n-depart:"zoom")+(t8n-arrive:"slide-right")+(t8n-time:2.1s)[[Equilibrium->Uncrustable Equilibrium]] (t8n-depart:"slide-left")+(t8n-arrive:"pulse")+(t8n-time:2.1s)[[Scarcity->Uncrustable Scarcity]]

Hmmm... Surplus means that there are more uncrustables supplied by me than demanded by the customers. Is that the right word to use here? (t8n-depart:"shudder")+(t8n-arrive:"shudder")+(t8n-time:2.1s)[[Yes!->Uncrustable Wrong]] (t8n-depart:"pulse")+(t8n-arrive:"dissolve")+(t8n-time:1.4s)[[No, let's try something else.->Uncrustable Try Again]]

Hmmm... Equilibrium means the number of Uncrustables I supply is exactly the same as the number of Uncrustables my customers demand. Is that the right word to use here? (t8n-depart:"shudder")+(t8n-arrive:"shudder")+(t8n-time:2.1s)[[Yes!->Uncrustable Wrong]] (t8n-depart:"pulse")+(t8n-arrive:"dissolve")+(t8n-time:1.4s)[[No, let's try something else.->Uncrustable Try Again]]

Hmmm... Scarcity means that the number of Uncrustables I can supply is lower than the number of Uncrustables my customers demand. Is that the right word to use here? (t8n-depart:"blur")+(t8n-arrive:"blur")+(t8n-time:1.4s)[[Yes!->Uncrustable Prices]] (t8n-depart:"pulse")+(t8n-arrive:"dissolve")+(t8n-time:1.4s)[[No, let's try something else.->Uncrustable Try Again]]

(t8n-depart:"shudder")+(t8n-arrive:"rumble")+(t8n-time:1.4s)[[Sorry, that's the wrong answer. We need to describe a situation where the number of Uncrustables supplied is lower than the number of Uncrustables demanded.->Uncrustable Try Again]]

Okay, which word should we use? (text-colour:#d6336c)+(background:#f8f9fa)[Attention, loyal customers! The Uncrustables factory burned to the ground. We are now facing a a __________ of these delicious sandwiches. Please be patient as we wait for our next shipment! Thanks, Frankie Fitzgerald] What word should go in the blank? (t8n-depart:"slide-left")+(t8n-arrive:"zoom")+(t8n-time:2.1s)[[Surplus->Uncrustable Surplus]] (t8n-depart:"zoom")+(t8n-arrive:"slide-right")+(t8n-time:2.1s)[[Equilibrium->Uncrustable Equilibrium]] (t8n-depart:"slide-left")+(t8n-arrive:"pulse")+(t8n-time:2.1s)[[Scarcity->Uncrustable Scarcity]]

Thank you so much! That flyer will definitely help my customers understand what's going on. I have another uncertainty with these Uncrustables. I really depend on the Uncrustables for income. Do you think it would be okay to change the price in this situation? (t8n-depart:"slide-left")+(t8n-arrive:"rumble")+(t8n-time:1.4s)[[Absolutely! In a scarcity situation, you can increase the price to reflect increased competition among buyers.->The Problem with Potatoes]] (t8n-depart:"flicker")+(t8n-arrive:"pulse")+(t8n-time:1.4s)[[Absolutely! In a scarcity situation, you can lower the price to reflect increased competition among sellers.->Time Machine?]]

Oh thank goodness for your economics skills! I raised the price to $15.62 a box and made enough money to survive for the rest of the month! I am so close to having a successful business and it's all thanks to you! I have one last problem and then I think I will be good to go! The problem is... potatoes. You see, a cartoon back in February featured a super cute potato character and potatoes became really popular. <img src="https://i.pinimg.com/originals/76/f8/29/76f829a3ce97ae4fb0d8d737a220b4b2.png" width="250" height="250"> I mean look at that cute little potato!!!!!!!!!!!!!!!!!! But now, everyone has moved on to a different cartoon about cheese. <img src="https://www.pinclipart.com/picdir/big/399-3999086_clawbert-cute-adorable-kawaii-cartoon-sweet-happy-clipart.png" width="250" height="250"> He's cute too, I guess. Anyway, I had preordered a shipment of 952 pounds of potatoes for this month, thinking that customers would continue to buy the potatoes. But all they care about is cheese. :( I guess we need to name the problem first. What's the right word again? (t8n-depart:"fade-down")+(t8n-arrive:"shudder")+(t8n-time:1.4s)[[Scaricty->Potato Scarcity]] (t8n-depart:"slide-right")+(t8n-arrive:"shudder")+(t8n-time:1.4s)[[Surplus->Potato Surplus]] (t8n-depart:"flicker")+(t8n-arrive:"blur")+(t8n-time:1.4s)[[Equilibrium->Potato Equilibrium]]

Wow.... that was a disaster. I lowered the price, like you said. My customers bought out all of the Uncrustables in 149 seconds. And I lost about $31,204 dollars. I'm going to have to close my store!!!!!! How could you do this to me???? (t8n-depart:"slide-right")+(t8n-arrive:"fade-down")+(t8n-time:1.4s)[[Oh...what's that? You have a time machine? And we can try this again?????->Uncrustable Prices]]

Wait... I thought you said that a scarcity is when I don't have enough of something to sell? I currently have //way// too many potatoes. My customers don't seem to want to buy them. I'm not sure that's a scarcity situation. (t8n-depart:"shudder")+(t8n-arrive:"zoom")+(t8n-time:1.4s)[[Let's try again.->The Problem with Potatoes]]

Surplus! That's the right word! Thanks for reminding me. I have more potatoes than people are willing to buy. What should I do to convince people to buy my potatoes? I have two ideas. Which do you think will work? Raise the price from $0.50 per pound to $50 per pound to convince everyone they are (text-colour:#fcc419)[(text-style:"wavy-underline","expand")[''luxury potatoes'']]. Maybe even get a gold plated display to sell them on! (t8n-depart:"rumble")+(t8n-arrive:"blur")+(t8n-time:1.4s)[[Then they'll buy more!->Luxury Potatoes]] Run an ad promoting a ''(text-colour:#f06595)[PO](text-colour:#cc5de8)[TA](text-colour:#5c7cfa)[TO](text-colour:#22b8cf)[ PA](text-colour:#94d82d)[RT](text-colour:#fcc419)[Y!]'' and drop the price to $0.10 per pound. (t8n-depart:"flicker")+(t8n-arrive:"flicker")+(t8n-time:1.4s)[[YESSSSSSSSSSSSSSSSSSS->POTATO PARTY]]

Wait... I thought you said equilibrium is when the price I sell the potatoes for matches the price the customers want to buy the potatoes for. That doesn't seem right. Nobody's buying my potatoes. :( (t8n-depart:"slide-right")+(t8n-arrive:"slide-right")+(t8n-time:1.4s)[[Let's try again.->The Problem with Potatoes]]

This was the best idea ever! I sold so many potatoes! I can't believe lowering the price actually helped me make money! Why did that work, exactly? (t8n-depart:"pulse")+(t8n-arrive:"shudder")[[There was a scarcity of potatoes, so the demand was much higher than the supply. When supply is low, lowering the price makes the product more atractive to customers.->Wait... what?]] (t8n-depart:"zoom")+(t8n-arrive:"zoom")[[There was a surplus of potatoes, so the supply was much higher than the demand. When demand is low, lowering the price makes the product more atractive to customers.->Economics Hero!]] (t8n-depart:"pulse")+(t8n-arrive:"shudder")[[There was a surplus of potatoes, so the demand was much higher than the supply. When supply is low, lowering the price makes the product more atractive to customers.->Wait... what?]]]]

Wow.........This.... Did not work. Between the gold and the fact that nobody bought any potatoes at all, I lost about $14,100. <img src="https://cdn.shopify.com/s/files/1/0618/3873/products/il_fullxfull.1958967203_hzqu_hfhmjovcofnio67r.jpg?v=1588091883" width="250" height="250"> I did get a bracelet made of gold plated potato chips though, so that's... nice. (t8n-depart:"slide-left")+(t8n-arrive:"zoom")[[Didn't you have a time machine?->Potato Surplus]]

I think you got some words mixed up there. Wanna try again? (t8n-depart:"pulse")+(t8n-arrive:"shudder")[[There was a scarcity of potatoes, so the demand was much higher than the supply. When supply is low, lowering the price makes the product more atractive to customers.->Wait... what?]] (t8n-depart:"zoom")+(t8n-arrive:"zoom")[[There was a surplus of potatoes, so the supply was much higher than the demand. When demand is low, lowering the price makes the product more atractive to customers.->Economics Hero!]] (t8n-depart:"pulse")+(t8n-arrive:"shudder")[[There was a surplus of potatoes, so the demand was much higher than the supply. When supply is low, lowering the price makes the product more atractive to customers.->Wait... what?]]]]

You have truly saved my company with your understanding of economics! Thank you for rescuing (text-style:"wavy-underline","emboss","expand","fade-in-out")[Fitzgerald's Food Forum!] You're my hero! <img src="https://webstockreview.net/images/clipart-png-medal-9.png" width="250" height="250">