Eco 212 Essay

915 WordsJun 12, 20124 Pages
Supply, Demand, and Price Elasticity Isabela A Mena Eric Chavez Diana Cortez ECO 212 December 8, 2011 Supply, Demand, Price Elasticity Water is known to be one of our most popular resources and we all have very easy access to it at any given point in time. However, even though water is always available to us it still has its scarcity. There are some multiple known factors that can cause the change in supply of water. We can start by the resource price meaning that the more water we use the more we are going to purchase of it which is what the point of production is. There is also the price of related goods meaning the other types of water there is to choose from. It is a known fact that there are so many types of water to compare. We have natural water, distilled water, mineral water, and flavored water to name a few. What suppliers do is rate a certain type of water according to its demand that way there is an increase in value. Another factor that we can look at is the expectation of our resource for our future. With a lot of access to water it still feared that we would run out in the near future. As consumers as much as we love our resources very few of us tend to conserve it wisely. Sellers of our resources are said to increase price to our resources and that will make supply of water decrease. We can also consider the factor of number of sellers in markets which consist of all the water brands names that are associated with our resource. Water has many companies that distribute it from Fiji, Aquafina, Dasani, and Geyser to name a few and the number of sellers are always set to increase regardless. The last factor that can shift a change would be weather. In any condition of weather that is poor will greatly decrease supply of our resource versus good weather. Summer season is a perfect weather condition in which water is greatly

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