Example Of Essay On The Underlying Economics Behind “Who Feeds Paris?”

The question who feeds Paris? is evident from economist Charles Wheelan’s book named Naked Economics and its meaning can be interpreted in following ways via using economics concepts. The possible assessment of this question can be in following ways:
The first inference drawn from this question is how can government estimate what is the precise allocation of food and groceries to the supermarkets and groceries so as to ensure the consumption is met aptly for Paris.
It implies how the city is able to maintain its grocery and other important food items in exactly same quantity so as to feed such a largely populated city perfectly.
The notion that France has imports of food products from at least 15 other countries and still the prices are maintained in sync for entire Paris when it comes to food products.
The market which makes all the buyers and sellers to operate within its premises is not managed by some invisible hand but it stands self corrected.
The price of goods and services in a market is determined by the transactions that occur in that market and every transaction makes the companies better off against each other.
The market is made of buyers and sellers who control the demand and supply respectively. The price is the value at which a seller agrees to sell the product. The price that sustains for a product is that price which fulfil the exact nature of a buyer’s consumption and also has a competitive edge across the market for similar sellers.
Hence, Adam Smith’s theory of self correcting market comes into picture which says that the market governs its own demand supply to adjust prices that are best of interest for growth of the market, as a whole.