Categories
Supply & Demand

Uber Surge Pricing

A large blizzard has hit the area and the employees have finally decided to go home. While outside, some of the employees appear stuck because public transportation may not be working. Garrett suggests a few of them share an Uber, but because of the increased demand for transportation, the ride is surging to $1,400. The employees decide to head back inside.

Categories
Supply & Demand

Discount Sushi

Sushi is on sale, but people should question whether it’s worth the risk? If companies have too many products, it may indicate that the price was set too high. When a surplus exists, firms reduce the price so that the market clears. Unfortunately, the quality may not be as high as it was the day before.