Demand For Ugg Boots Outstrips Supply

Australia’s Ugg boots was a great product for many people – everyone started getting Uggs after it came out. The warmth of the sheepskin and the comfortableness was exactly what people were expecting. Not only women bought them, but also men and children did too. And because so many people wanted Uggs, the production of them weren’t catching up to satisfy everyone’s greed, and outstripped the supply. This caused many unofficial sales through eBay of Uggs at a higher price than usual, and people still bought them for a higher price.

Now this graph above explains this article because as you can see, there is a shift in demand to the right from D1 to D2. This happens because of the change in peoples tastes and preferences.

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This entry was posted in Economics, Section 2. Bookmark the permalink.

One Response to Demand For Ugg Boots Outstrips Supply

  1. Peter Anthony says:

    Kanako, you have understood the article but a diagram is essential.

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