Demand and supply curves — practice question

Use a demand and supply diagram to show how ‘a sequence of typhoons’ affected the market price of food crops in Southeast Asia in January 2023.

In the short run, is the price elasticity of supply of red onions elastic or inelastic? Justify your answer.

Using a production possibility curve (PPC) diagram, consider how the opportunity cost to a farmer in the Philippines would change if they began growing red onions.

Assess whether a ‘suggested retail price’ is the most effective way of stabilising onion prices in the Philippines.

Assess the extent to which the rise in onion prices is likely to have affected all households equally in the Philippines.