The Kenyan flower industry provides an example of:
A) how shifts of supply and demand in one market have effects on other markets.
B) why most markets are independent of one another.
C) how prices fail to coordinate economic activity.
D) why it is difficult to link world markets.

Question

Quizplus · Accepted Answer

The Kenyan flower industry depends heavily on exports to European countries, and shifts in demand for their flowers have direct effects on the industry's profits and employment rates. This demonstrates how shifts in one market can have ripple effects on other markets.

The Kenyan Flower Industry Provides an Example Of