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Coffee and global debt?

If coffee is a product widely produced by developing nations, why is it so expensive? Is the supply of coffee more than the demand?


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One Response to “Coffee and global debt?”

  1. robert m says:

    It is only as expensive as supply and demand dictates. If demand is high relative to supply, prices can be increased. Remember that global demand for everything is increasing, while supply is hard to influence, in the short run. Coffee trees are not exactly the same as corn, which grows twice a year.
    What I’m saying is that the supply of coffee is hard to increase in the short run. Meanwhile, 1.4 billion people in China could decide they like coffee pretty quickly.

    I’m not clear on what you’re asking in regard to "global debt"?

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