Food Prices RISE During a Month of Fasting?
John Chilton, aka The Emirates Economist, explains that in the United Arab Emirates,
During the fasting month [Ramadan] the demand for food actually rises. Fasting takes place during the daylight hours. Iftar, the daily breaking of the fast at sundown, is a festive event. In homes families gather for large meals that have been under preparation all day. Restaurants offer buffets to serve the crowds at Iftar. I'm speculating, but my guess is that demand rises through a combination of celebration and the inevitable waste of dealing with feeding a crowd all at once.Check out his full posting for discussions of the UAE's attempt to regulate prices in the face of shifting supply and demand curves.
Category: Economics, Islam, Middle East Posted on
Thursday, September 13, 2007 at 1:10pm
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