Coffee Bean Market - Arabica by XueTing Lee https://padlet.com/lee_xueting/16S16GROUP2 en-us 2016-04-06 00:25:39 UTC 2024-12-10 05:09:28 UTC hello@padlet.com Chat Box lee_xueting https://padlet.com/lee_xueting/16S16GROUP2/wish/104257864 Ms Lee: Hi]]> 2016-04-04 06:39:46 UTC https://padlet.com/lee_xueting/16S16GROUP2/wish/104257864 Conclusion lee_xueting https://padlet.com/lee_xueting/16S16GROUP2/wish/104257865 The fall in demand and supply reinforce each other to cause a sharp fall in equilibrium quantity. The greater the fall in demand and supply, the more significant the fall in quantity.
However, the effect on equilibrium price is indeterminate and depends on the relative extent of the fall in demand and supply. If fall in demand exceeds fall in supply, P will fall. If fall in supply exceeds fall in demand, P will rise

]]> 2016-04-04 06:38:57 UTC https://padlet.com/lee_xueting/16S16GROUP2/wish/104257865 Body: State the new (final) equilibrium lee_xueting https://padlet.com/lee_xueting/16S16GROUP2/wish/104257866 Finally, the market is back at equilibrium at E2, at the intersection of the new demand curve(D2) and new supply curve(S2). Equilibrium price is now lower at P2 and equilibrium quantity now lower at Q2.]]> 2016-04-04 06:38:13 UTC https://padlet.com/lee_xueting/16S16GROUP2/wish/104257866 Body: Using the market adjustment process, explain how the shift(s) changes the equilibrium price and quantity (Explanation of diagram): lee_xueting https://padlet.com/lee_xueting/16S16GROUP2/wish/104257867 At original price level P1, quantity supplied is more than quantity demanded, this creates a surplus of QdQs. Surplus exerts downward pressure on price, quantity demanded rises while quantity supplied falls and the surplus gradually decreases as price falls until new equilibrium E2 is achieved.]]> 2016-04-04 06:35:51 UTC https://padlet.com/lee_xueting/16S16GROUP2/wish/104257867 Body: Decide the direction and magnitude in which the curves shift lee_xueting https://padlet.com/lee_xueting/16S16GROUP2/wish/104257868 Demand and Supply curve shifts to the left but demand curve shift more than supply curve.]]> 2016-04-04 06:34:27 UTC https://padlet.com/lee_xueting/16S16GROUP2/wish/104257868 Body: Identify and explain whether the factor/event shifts the demand or supply curve. (2 Demand + 1 Supply or 2 Supply + 1 Demand) lee_xueting https://padlet.com/lee_xueting/16S16GROUP2/wish/104257869 1) The price of the substitutes for coffee bean(robusta coffee bean) is relatively cheaper then arabic coffee bean by Brazil."Strong demand for entry-level coffee-40% of the world's coffee crop is now robusta beans-has enabled Vietnam to go from almost nothing a decade ago to producing 25m bags today""These processors, including big food firms such as Nestlé and Kraft, have responded by blending cheaper robusta with arabica."Therefore when the price of robusta coffee bean is cheaper and holding all other factors constant, the quantity demanded for arabica coffee beans will decrease. 
2)" In the developing countries such as China, Indonesia and Brazil, meanwhile, where the emerging middle classes are discovering the joys of coffee and the market is growing by around 5% a year, robusta is the bean of choice. "This shows that even in Brazil where most of the coffee production are arabica coffee beans, there is a change in taste and prefrences where consumers switch to robusta coffee beans. Since consumers switch to robusta beans, the quantity demanded for arabica beans will fall, causing a leftward shift on the demand curve.

3) There is an increase in the cost of production of coffee beans in Brazil and leading to a fall in profit. This can be shown in Article 1 which states that "Wages in Brazil and Colombia are rising fast and production costs are above prices" and "Low arabica prices are accompanied by rising costs. Coffee is a labour-intensive crop; picking is still largely done by hand." Since it is labour intensive, farmers wants to increase their wages and hence producing coffee bean is less profitable(as cop increases) and thus the quantity suppiled will decrease hence causing a leftwards shift in the supply curve.]]> 2016-04-04 06:32:26 UTC https://padlet.com/lee_xueting/16S16GROUP2/wish/104257869 Body: State the initial equilibrium lee_xueting https://padlet.com/lee_xueting/16S16GROUP2/wish/104257870 Initially, the coffee market is in equilibrium at the intersection of demand (D1) and supply (S1) at equilibrium point E]]> 2016-04-04 06:31:44 UTC https://padlet.com/lee_xueting/16S16GROUP2/wish/104257870 Introduction lee_xueting https://padlet.com/lee_xueting/16S16GROUP2/wish/104257871 Explain market mechanism:  The use of money exchanged by buyers and sellers with an open and understood system of value and time trade-offs to produce the best distribution of goods and services.


Define demand:Demand is defined as the amount of a good that consumers are able and willing to purchase in a given period of time at various prices.


Define supply:Supply is defined as the amount of a good that producers are able willing to offer for sales in  a given period of time at various prices.




]]> 2016-04-04 06:30:11 UTC https://padlet.com/lee_xueting/16S16GROUP2/wish/104257871 Welcome:) lee_xueting https://padlet.com/lee_xueting/16S16GROUP2/wish/104257872 Dear Students,

Welcome to Home-Based Learning 2016!

By now, you should have the list of the team members in your group. Each team will analyse 2 articles below to identify 3 evidence/information (2 Demand + 1 Supply or 2 Supply + 1 Demand factors)  to answer the following essay question:

a) With reference to the 2 news articles, explain the fall in prices of coffee beans in Brazil.

To discuss the answers with your group members, double click anywhere on the wall and a virtual "sticky note" will appear at the top. From, enter your name, then you can use the "sticky note" to "chat" with each other. 

For example, Miss Lee: I don't think that is a non-price factor that affects demand. Please remember to write your name before the statement :) 

Lastly, please identify these non-price determinants of demand & supply by quoting the relevant phrases from the article. 

For example, as stated in article 1, "the recession in Europe has hit demand". After quoting the evidence for the article please proceed to explain how this non-price factor affects demand or supply with economic rigour. 

I have provided some scaffolding statements to guide you in your essay development. Address each statement by writing the essay segment in the respective sticky note. Press the pencil button to write the respective essay segment.

]]> 2016-04-04 06:06:48 UTC https://padlet.com/lee_xueting/16S16GROUP2/wish/104257872 Topic: Demand, Supply & Market Equilibrium lee_xueting https://padlet.com/lee_xueting/16S16GROUP2/wish/104257873 Objective - Students will be able to identify and explain how the demand and supply factors affect the market for coffee beans.]]> 2016-04-04 06:04:45 UTC https://padlet.com/lee_xueting/16S16GROUP2/wish/104257873 Group name: lee_xueting https://padlet.com/lee_xueting/16S16GROUP2/wish/104257874 Please write out the names of the members in the group.
1.Song Jae Yoon
2.Heng Xiao Jun
3.Toh Wei Ying
4.Danish
5.]]> 2016-04-04 06:03:43 UTC https://padlet.com/lee_xueting/16S16GROUP2/wish/104257874 With reference to the 2 news articles,  explain the fall in prices of coffee beans in Brazil. lee_xueting https://padlet.com/lee_xueting/16S16GROUP2/wish/104257875
 ]]> 2016-04-04 05:52:46 UTC https://padlet.com/lee_xueting/16S16GROUP2/wish/104257875 News Article lee_xueting https://padlet.com/lee_xueting/16S16GROUP2/wish/104257876 2016-04-04 05:51:11 UTC https://padlet.com/lee_xueting/16S16GROUP2/wish/104257876 News Article 1 lee_xueting https://padlet.com/lee_xueting/16S16GROUP2/wish/104257877 2016-04-04 05:48:50 UTC https://padlet.com/lee_xueting/16S16GROUP2/wish/104257877