As we already know from the previous questions, tThe price of wheat is strongly is determined bylinked with its supply and demand. In order to determine the increases and decreases of the wheat price, we don't necessarily pay attention to whether supply and demand are elastic or inelastic. What we know and we care about is thatThe demand forof wheat has been increasing over the last few years, and that is because population andis growing over the years, so income is growing aswell. With other words, tThe more people there are and the higher their incomemore money they get, the mostre wheat will be consumed. But why was 2008 an exceptional year for the price of wheat? Simply because, even though high income countries kept the pPopulation and incomes were growing particularly quickly inon a standard basis, the lower and middle income countries increasing their population over the years. So in 2008, and as we can find out from Figure 4and this led to a sign:ificant increase in the demand for wheat, because the demand for wheat is more responsive to increases in income in these countries. World population of the case study, world population of the low and middle income countries is on peak on 2008. [This is not correct.] [The supply of wheat?]That means more consumption of wheat, since it is vital for these countries, is leading to increased prices.

Question 9

As we noticed already from question 8, tThe price of wheat in 2008 was surprisingly high, but itcomparing to the one on the previous years. On the other hand though, the price of wheat faell rapidly after July 2008. That happened because the recession after the big 2008 global financial crisis led to worldwide recession. There was as a result a significant fall in the demand forof wheat, causing a sharp fall in prices. In other words, tThe recession caused a significant decrease oin people's incomes, making them refrain from buying the same amounts of wheat as they used to buyought in before 2008. So, farmers, in order to have some profit, or at least evade the losses, dropped their prices rapidly so they could both sell their products and have a minor profit. In addition, the price of wheat also depends on the production they have had. Depending on the quality or the amount they produced, they could have adjusted the prices. That means that a bad production equals decrease in demand, equals decrease on prices. On the other hand a good production equals increase on prices. [This is not correct.]

Question 10

Trying to answer questions like: Will the price remain high in the future is really hard, especially if your knowledge about the issue is limited. On the other hand though, based on some facts, it is possible to make some predictions about the price of wheat. We already know that the demand of wheat has beenis increasing over the years in low income countries. Additionally we know that even thought the technology is improvinggetting better and better over the years [explain importance], the global warming is a problem that will remain in the upcoming years. [why is this important] Lastly, we know that even thought the demand of wheat is increasing in low income countries, and the population is as well, the income is an unstable factor, cause simply we don't know how it will evolve. Overall, it is my strong belief that the price of wheat in the future will not remain that high, so people will not be able to buy it, but neither will fall down. [But why?] It will be kept onto normal levels._ [What does this mean?]

As we already know from the previous questions, tThe price of wheat is strongly is determined bylinked with its supply and demand. In order to determine the increases and decreases of the wheat price, we don't necessarily pay attention to whether supply and demand are elastic or inelastic. What we know and we care about is thatThe demand forof wheat has been increasing over the last few years, and that is because population andis growing over the years, so income is growing aswell. With other words, tThe more people there are and the higher their incomemore money they get, the mostre wheat will be consumed. But why was 2008 an exceptional year for the price of wheat? Simply because, even though high income countries kept the pPopulation and incomes were growing particularly quickly inon a standard basis, the lower and middle income countries increasing their population over the years. So in 2008, and as we can find out from Figure 4and this led to a sign:ificant increase in the demand for wheat, because the demand for wheat is more responsive to increases in income in these countries. World population of the case study, world population of the low and middle income countries is on peak on 2008. [This is not correct.] [The supply of wheat?]That means more consumption of wheat, since it is vital for these countries, is leading to increased prices.

Question 9

As we noticed already from question 8, tThe price of wheat in 2008 was surprisingly high, but itcomparing to the one on the previous years. On the other hand though, the price of wheat faell rapidly after July 2008. That happened because the recession after the big 2008 global financial crisis led to worldwide recession. There was as a result a significant fall in the demand forof wheat, causing a sharp fall in prices. In other words, tThe recession caused a significant decrease oin people's incomes, making them refrain from buying the same amounts of wheat as they used to buyought in before 2008. So, farmers, in order to have some profit, or at least evade the losses, dropped their prices rapidly so they could both sell their products and have a minor profit. In addition, the price of wheat also depends on the production they have had. Depending on the quality or the amount they produced, they could have adjusted the prices. That means that a bad production equals decrease in demand, equals decrease on prices. On the other hand a good production equals increase on prices. [This is not correct.]

Question 10

Trying to answer questions like: Will the price remain high in the future is really hard, especially if your knowledge about the issue is limited. On the other hand though, based on some facts, it is possible to make some predictions about the price of wheat. We already know that the demand of wheat has beenis increasing over the years in low income countries. Additionally we know that even thought the technology is improvinggetting better and better over the years [explain importance], the global warming is a problem that will remain in the upcoming years. [why is this important] Lastly, we know that even thought the demand of wheat is increasing in low income countries, and the population is as well, the income is an unstable factor, cause simply we don't know how it will evolve. Overall, it is my strong belief that the price of wheat in the future will not remain that high, so people will not be able to buy it, but neither will fall down. [But why?] It will be kept onto normal levels._ [What does this mean?]