Question

writing an essay on demand and supply elasticity for coco cola

Answer 1

Coco cola is a normal good. The demand of coco cola decreases as it's price increases and the vice versa. One of the major reasons of it is presence of various other substitutes like Mirinda, Sprite, Pepsi etc. It's demand is also fluctuated because of various other factors like fiction in income, government policies, tastes etc.

The supply of coco cola increases with increase in its price and the vice versa. The supply is affected my various factors like technology, number of consumers, price of inputs etc.