short paper 2-3 pages APA guidelines. the attachment explain everything you need to know. the topic is # 3 ( Price increases after disasters) chapter 4. I will attach part of the book that will help with the paper.
Answer preview
Economists also advocate for the price increase after disasters for the purpose of bringing demand in line with supply. This is because when the market forces of demand and supply are allowed to work, commodities remain available and only sold to the people who value them most. Economists also argue that price increase after disasters is also caused by the need to prevent hoarding since customers are forced to only buy the commodities they need to use rather than making extra purchases which can occur when prices are cheap (Cowen, and Tabarrok, 2015). Price increase after disasters also occurs as a way of reducing various forms of rationing which include waiting in line which can occur if the prices are kept fixed as demand increase
