Economics

In the News

France to spend €200m on destroying excess wine as demand falls

27th August 2023

There's lots to think about here - however, let's start with a simple application of marginalist principles. Can you explain how the French government might justify spending 200 million euros destroying excess wine?

It's fascinating - if you can do that, can you then extrapolate to describe the effect on the market in demand and supply terms?

And then you might start to think whether or not there are other questions relating to efficiency and the operation of markets that need answering.

France to spend €200m on destroying excess wine as demand falls https://t.co/sUp9Ho61QK
— Guardian World (@guardianworld) August 25, 2023

Graham Watson has taught Economics for over twenty years. He contributes to tutor2u, reads voraciously and is interested in all aspects of Teaching and Learning.