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Disaster can influence the means and the conditions of production causing a reduction in the amount of product available. It can also bring about a greater demand for certain products leading to a higher price as a result of increased demand. there are other factors that can lead to higher prices such as for example. the Oil spill of the coast of the USA will lead to the cost of production being increased by BP the result will be that competing oil producers will have the opportunity to raise their prices slightly. Add to this the knee jerk political reaction that leads to no offshore oil being taken from the US coast and the oil companies will be wringing their greedy hands in glee as the prices Will go up without the production scale having to alter one way or another.

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Not entirely sure. I like to think that capitalist companies seem to be arogant about raising prices based on national interests and somehow resembles their heads inflating.


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An oversupply of a product typically leads to a decrease in prices as sellers compete to attract buyers, resulting in a surplus of goods that exceed demand. This price reduction can alter consumer perceptions, potentially making the product seem less valuable or of lower quality. Additionally, prolonged oversupply may lead consumers to anticipate further price drops, affecting their purchasing decisions and overall demand. Ultimately, the imbalance can harm brand reputation and profitability for producers.


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