Euro 2012 rip off – Supply and demand in action

Hotels at Euro 2012 are increasing their prices by as much as 1000% with some pretty shoddy rooms going for over £800. Students could try to show this using a demand and supply diagram. The most able students might also be able to talk about how the elasticity of demand and supply has caused the prices to increase so much. For an even more advanced student, you could ask whether the government setting a maximum price for hotel rooms would have solved this problem or just caused more issues