What’s provide shock in economics? definition and examples

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What are provide shocks? How do they have an effect on costs?

When one thing occurs to vary the provision of a product or commodity, its value normally will increase or decreases in response. This example is named provide shock. It’s a short-term disruption that usually happens with out warning, because of a one-time occasion, similar to a stranded oil tanker stopping different ships from accessing a commerce route, or because of long-term points, similar to warfare, sanctions, or world warming. well being disaster.

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