Describe an example of speculation in a market explain how speculation affects market prices. Use a...

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Describe an example of speculation in a market explain how speculation affects market prices. Use a...

Describe an example of speculation in a market explain how speculation affects market prices. Use a supply and demand diagram as part of your explanation

business economics

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Answer 1

Answer #1

Here, the market is expecting a boom in the economy, they are speculation an increase in the jobs and more investment coming in the market, this will shift the demand curve to the right and the new equilibrium will be at a higher price and higher output.

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Describe an example of speculation in a market explain how speculation affects market prices. Use a...

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