In the market for potatoes, where price level reaches its low in October and its peak in June, speculators help to:

Question

Quizplus · Accepted Answer

Speculators help to balance out the fluctuations in supply and demand throughout the year by buying and holding onto potatoes during the low price months and then selling them during the high price months. This helps to keep the equilibrium price level more uniform over the year.

In the Market for Potatoes, Where Price Level Reaches Its