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Demand for bananas in a certain market has been declining over time. Explain four factors that may be responsible for this trend.

      

Demand for bananas in a certain market has been declining over time.

Explain four factors that may be responsible for this trend.

  

Answers


Martin
-Decrease in consumer’s income-incomes constitutes ability to buy goods and services. When they decrease consumer buy few.

- Decrease in substitutes price- a fall in price of other price makes them cheaper than bananas making consumers buy fewer bananas.

- Decrease in population-constitutes market. A decrease in population leads to decrease in demand for bananas.

- Deteriorating terms of sales- unfavorable terms leads to decrease in demand.

- Negative preference for bananas- consumer may have other fruits preferred to bananas.

- Government policy-increase in taxes leads to fall in demand or may have removed subsidy leading to fall in demand due to high prices
marto answered the question on September 13, 2019 at 11:37


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