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Prices generally are the result of the combined effect of supply and demand. Scarcity causes prices to rise, since there is more competition to obtain scarce items, and demand causes prices to rise, since people will be willing to pay more for something they strongly want.
Due to the overconsumption. When the demand increases the price also increases.
Food prices are going up because of the earthquake in Japan which is making it harder to get suppllies and it cost more for the companies to get the product you want there for you have to pay more.
Food prices are going higher because Gasoline prices go up, it costs more to transport the food thus making it inflate.
It is all based on supply and demand. Simplistic, I know, but just about everything reduces to excessive demand or issues with supplying the product.
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When prices rise what happens to income?
When prices rise, income buys less.
When inflation occurs do prices fall or rise?
rise
What is a rise in prices brought about by an increase in the ratio of currency?
a rise in prices that occurs when currency loses its buying power
Will gold price decrease in future?
Gold prices have been on the high rise for some years now, and no it does not look like gold prices will decrease in the near future.
How do changes in demand and supply bring about changes in market-clearing prices?
demand and supply are continually changing, causing some market-clearing prices to rise and some to fall; however these higher and lower prices cause some businesses in our economy to expand and others to contract.
What are the reasons for the rise in bread prices?
Inflation (which is also the rise in everything else). Funny you should say bread though, because inflation is actually measured by increase in food and energy product prices.
Why do market prices go up?
Prices can rise for various reasons. However, they usually go up when demand increases, or if there is a condition that causes a scarcity of resources.
What are the reasons gas prices seem to rise so often?
Its because everyone in the governments are so bloody greedy.!!
When prices rise what happens to income?
When prices rise, income buys less.
How much did crude oil prices rise in 2008?
The highest that the crude oil prices ever hit was USD$147. You can read about it and the reasons why the prices went that high here : http://english.aljazeera.net/focus/2008/09/200898133143509358.html
When inflation occurs do prices fall or rise?
rise
How much are fuel prices expected to rise this summer?
A driving factor in the rise is the Gulf oil crisis. Prices are expected to rise at least 7% over the summer.
What is the rise of prices called?
That is inflation.
Why do the price of things rise when gas goes?
When gas prices rise, other products soon follow. This is a sign of inflation, where the general value of money decreases and prices rise.
What is a rise in prices brought about by an increase in the ratio of currency?
a rise in prices that occurs when currency loses its buying power
Explain the process of supply and demand and how prices rise and fall?
Prices will fall when the demand is much lower than the supply. When the supply is lower, there is greater demand, therefore, the prices will rise.
Will gold price decrease in future?
Gold prices have been on the high rise for some years now, and no it does not look like gold prices will decrease in the near future.
