Using the supply and demand analysis, a specific situation that I've witnessed where a shortage has occurred, is the makeup industry. Prices have been increasing in the last few years. "As supply chain and transportation costs surged in the post-lockdown inflation era, many beauty companies upped their prices in response (Flora, 2023). The increase in prices of the make up has resulted from the increased price of raw materials and transportation costs. As a result, consumers are having to pay a higher price and then less likely to purchase as much before price increases. I used to keep a lot of makeup, and now only keep bare necessities as a result of the makeup price increase. In the video we can see that the demand for the doll has increased, supply has decreased. Because the supply is limited the demand has increased, this causes the price to increase. One way to alleviate the shortage and the price increase that has been caused could be the rationing of coupons. Offering the products at a discounted rate will increase the amount of products purchased. If I had more coupons, I would buy more makeup. Flora, L. (2023, August 28). Is slowing inflation