The shift from bananas to coffee in Uganda poses a risk to food security due to price fluctuations.

2024-11-05 00:00

The Cobweb theory suggests that price volatility in agricultural markets results in supply fluctuations, leading to a cycle of price changes. In Uganda, coffee farmers struggle to forecast market prices due to the inelastic supply in the short term. Despite past patterns, fluctuations in prices make it difficult for farmers to anticipate their income accurately.

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