Question
a) Economic theory says that the price of a good or service goes down when the number of people who want it goes up. This
a) Economic theory says that the price of a good or service goes down when the number of people who want it goes up. This is because when the supply of a good or service goes up, there are more of them on the market, so the desire for them goes down. In the case of the wheat farmer, the good weather has increased the amount of wheat on the market, which has caused the price of wheat to go down. This means that the farmer won't be able to sell as much wheat and make as much money as he or she would have if the weather had been bad. To make the best of the situation, the farmer should look for other ways to make money from their wheat, like selling it to local bakers or restaurants, or even selling it online. They could also look for other ways to make money, like giving tours of their farm or selling honey, eggs, or other.
b) Canada's decision to legalize cannabis is expected to have a big effect on both the supply and demand sides of the market. On the supply side, legalizing cannabis is likely to lead to more producers and a wider range of cannabis goods. This could make producers compete with each other more, which could make prices for customers go down. On the demand side, legalizing cannabis is likely to lead to a rise in demand as more people learn about the product and what it might be good for. This could cause prices to go up because companies will be able to charge more for their goods. When cannabis is legalized, more people will learn about the product and its possible benefits. This is likely to increase the size of the cannabis market in the long run.
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