Question

what if buffer stock​

Answer 1

Answer:

a reserve of a commodity that can be used to offset price fluctuations is called buffer stock.

A buffer stock is a system or scheme which buys and stores stocks at times of good harvests to prevent prices falling below a target range (or price level), and releases stocks during bad harvests to prevent prices rising above a target range (or price level)

Answer 2

HEY MATE U R ANSWER  ..............

ANSWER BY AN ECONOMICS STUDENT :)

A buffer stock scheme is an attempt to use commodity storage for the purposes of stabilising prices in an entire economy or an individual market. Specifically, commodities are bought when a surplus exists in the economy, stored, and are then sold from these stores when economic shortages in the economy occur.

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