Wednesday, February 27, 2008

Unit 1: The price of wheat at record levels

The BBC reports that the price of wheat has hit an all-time high in these 2 articles

http://news.bbc.co.uk/1/hi/business/7264239.stm

http://news.bbc.co.uk/1/hi/business/7264653.stm

Using the 2 articles,
a) Explain what has happened to the demand for wheat
b) Explain what has happened to the supply of wheat
c) Using a diagram, explain why the price of wheat has risen

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