Question

Cause and effect what is likely to happen when consumers hear reports that make them worry about a products safety ? Explain the possible when price rises ?

Answer 1

If consumers hear reports that make them worry about a product safety, they are less likely to purchase the product. Consumers want to know that the product they are purchasing is safe for them to consume. If there are elements that question their safety, they may not purchase the item due to not knowing what the side effects may be. If the price rises, I would assume even less people would purchase the product if it’s set at a higher price and with product safety in question.

Answer 2

The demand of that product decreases only the few who can afford will purchase and the cause of higer prices on aproduct may b due to increement in taxes on acommodity by the gov't