Recall the Application about the decrease in the price of wool in the 1990s to answer the following question(s). In the 1990s, the world price of wool decreased by about 30 percent and prices have remained relatively low since then. In 2012, an organization in New Zealand proposed that sheep shearing be added to the Commonwealth Games and the Olympics as a spectator sport in an effort to increase the awareness and the demand for wool.
-According to the Application,why might introducing sheep shearing not be an effective policy to raise wool prices?

Question

Quizplus · Accepted Answer

Increased sheep shearing as a spectator sport is unlikely to directly affect the amount of wool produced. The proposal aims to raise awareness and demand for wool, not necessarily to increase the immediate supply. However, the effectiveness of this strategy in raising wool prices is questionable because simply increasing awareness does not guarantee a significant rise in demand or prices, especially if the supply remains unchanged or increases.

Recall the Application About the Decrease in the Price of Wool