Review of ultra-processed food’s price change effect on consumer demand

Abstract

In recent years, ultra-processed food has gradually become the main way of consuming food in many households or individuals, particularly for those who do not have enough time and money to buy fresh ingredients. However, eating too much dairy could trigger some negative effects owing to its making process and adding many additives. Consequently, obesity and other diseases may result. Therefore, the introduction firstly points out the wide distribution and its shortcomings, then this article the link between obesity and the price of ultra-processed foods. Secondly, two models, the Linear demand curve model, and the non-Linear demand model will be used to analyze the relationship between the price of ultra-processed food and consumer demand. Finally, introduce the concept of “elasticity” to determine the extent to which price causes a change in demand. Then it is pointed out which factors will affect the price of ultra-processed food, and thus indirectly cause the change in demand.