Coffee Bean Market - Arabica by XueTing Lee https://padlet.com/lee_xueting/16S07S15GROUP3 en-us 2016-04-06 00:52:23 UTC 2026-02-02 21:56:12 UTC hello@padlet.com News Article 1 lee_xueting https://padlet.com/lee_xueting/16S07S15GROUP3/wish/104260821 2016-04-04 05:48:50 UTC https://padlet.com/lee_xueting/16S07S15GROUP3/wish/104260821 News Article lee_xueting https://padlet.com/lee_xueting/16S07S15GROUP3/wish/104260822 2016-04-04 05:51:11 UTC https://padlet.com/lee_xueting/16S07S15GROUP3/wish/104260822 With reference to the 2 news articles,  explain the fall in prices of coffee beans in Brazil. lee_xueting https://padlet.com/lee_xueting/16S07S15GROUP3/wish/104260823 2016-04-04 05:52:46 UTC https://padlet.com/lee_xueting/16S07S15GROUP3/wish/104260823 Group name: lee_xueting https://padlet.com/lee_xueting/16S07S15GROUP3/wish/104260824 Please write out the names of the members in the group.
1. Amrita
2. Marcel
3. Tina
4. Shayna]]> 2016-04-04 06:03:43 UTC https://padlet.com/lee_xueting/16S07S15GROUP3/wish/104260824 Topic: Demand, Supply & Market Equilibrium lee_xueting https://padlet.com/lee_xueting/16S07S15GROUP3/wish/104260825 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/16S07S15GROUP3/wish/104260825 Welcome:) lee_xueting https://padlet.com/lee_xueting/16S07S15GROUP3/wish/104260826 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/16S07S15GROUP3/wish/104260826 Introduction lee_xueting https://padlet.com/lee_xueting/16S07S15GROUP3/wish/104260827 Explain market mechanism:
Tina: The market mechanism works through the interaction of the market forces of demand and supply to determine the equilibrium price and quantity of coffee beans in Brazil.

Define demand:
Tina: Demand for coffee beans refers to the quantities of coffee beans that consumers are able and willing to purchase in a given period of time at various  prices.

Define supply:
Tina: Supply for coffee beans refers to the quantities of coffee beans that the suppliers are able and willing to sell in a given period of time at various prices.

]]> 2016-04-04 06:30:11 UTC https://padlet.com/lee_xueting/16S07S15GROUP3/wish/104260827 Body: State the initial equilibrium lee_xueting https://padlet.com/lee_xueting/16S07S15GROUP3/wish/104260828 Marcel: Initially, the market is in equilibrium at E1 at the intersection of demand D1 and supply S1. The initial equilibrium price and quantity is at P1 and Q1 respectively.


]]> 2016-04-04 06:31:44 UTC https://padlet.com/lee_xueting/16S07S15GROUP3/wish/104260828 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/16S07S15GROUP3/wish/104260829 First, there is a decrease in the number of consumers of coffee. From the article," consumption in the developed world-American, European and Japanese drinkers consume more than half the world's coffee-is flat". This shows that with the decrease in the number of people drinking coffee, there is a decrease in consumers and hence a fall in demand, ceteris paribus.

Second, there is a decrease in the number of consumers willing and able to purchase coffee. From the article " Worse still for arabica producers, the recession in Europe has hit demand and squeezed profits for roasters. " This shows that there is a decrease in the number of consumers of arabica coffee due to recession. Recession is when there is an economic downturn. The recession leads to a fall in income which results in a fall in consumers' purchasing power. According to the article, "coffee is an affordable luxury for the middle class", a fall in income level leads to a fall in purchasing power to buy arabica coffee, ceteris paribus. 

This causes a leftward shift of the demand cure from D1 to D2.

Third, the increase in producers for arabica and robusta coffee beans has caused a rise in supply of coffee beans as evident in the article, "And good weather in Brazil means that this year's crop has turned out to be unexpectedly large." As weather is very good, there are would be an increase in the supple  of arabica and robusta coffee beans. 

This will, thus, cause a rightward shift of supply curve from S1 to S2 as shown in the diagram.

Ms Lee: How does what u quote indicate that there are more producers???



]]> 2016-04-04 06:32:26 UTC https://padlet.com/lee_xueting/16S07S15GROUP3/wish/104260829 Body: Decide the direction and magnitude in which the curves shift lee_xueting https://padlet.com/lee_xueting/16S07S15GROUP3/wish/104260830 The decrease in consumers is the main factor for the larger magnitude for the fall in demand as  the population of American, European and Japanese coffee drinkers is very large. The recession leads to a vast drop in European consumers being willing and able to purchase the arabica coffee. With the flatline of the comsumption of coffee among these coffee drinkers, it will cause a drastic drop in the demand for coffee and overwhelms the increase of supply of coffee even if the harvest is good. Hence the demand will shift to the left with a greater magnitude as compared to the rise in supply of coffee.]]> 2016-04-04 06:34:27 UTC https://padlet.com/lee_xueting/16S07S15GROUP3/wish/104260830 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/16S07S15GROUP3/wish/104260831 At original price P1, the quantity supplied exceeds quantity demanded, leading to a surplus. There is a downward pressure on price as sellers will decrease price to sell off the excess supply. As price decreases, quantity supplied falls and quantity demanded rises, and this process continues until the surplus is eliminated and a new equilibrium is reached at E2.

]]> 2016-04-04 06:35:51 UTC https://padlet.com/lee_xueting/16S07S15GROUP3/wish/104260831 Body: State the new (final) equilibrium lee_xueting https://padlet.com/lee_xueting/16S07S15GROUP3/wish/104260832 At the new equilibrium E2,equilibrim price decreases frm P1 to P2 and equilibrium quantity decreases from Q1 to Q2.]]> 2016-04-04 06:38:13 UTC https://padlet.com/lee_xueting/16S07S15GROUP3/wish/104260832 Conclusion lee_xueting https://padlet.com/lee_xueting/16S07S15GROUP3/wish/104260833 The decrease in demand and the rise in supply will reinforce the decrease in price of the coffee beans as seen in the diagram above.
There effect on equilibrium quantity is indeterminate. It depends on the extent of the increase in demand relative to the extent of the fall in supply. 
Equilibrium quantity will increase if the extent of the fall in demand is smaller than the increase in supply

Ms Lee: Need to tell me that the effect on equilibrium quantity is indeterminate as it depends on the relative changes in demand and supply. pls also explain what happened when fall in demand is smaller than the increase in supply.]]> 2016-04-04 06:38:57 UTC https://padlet.com/lee_xueting/16S07S15GROUP3/wish/104260833 Chat Box lee_xueting https://padlet.com/lee_xueting/16S07S15GROUP3/wish/104260834 Ms Lee: Hi
Marcel: Yo
Tina: Hello
Amrita:hi
Shayna: where did my hallo go]]> 2016-04-04 06:39:46 UTC https://padlet.com/lee_xueting/16S07S15GROUP3/wish/104260834 lol https://padlet.com/lee_xueting/16S07S15GROUP3/wish/106919898 2016-04-21 04:43:56 UTC https://padlet.com/lee_xueting/16S07S15GROUP3/wish/106919898