Microeconomic Theory and the Nispero
Published on 14th May, 2006
Mention the name Alfred Marshall to the nispero producers of Callosa d’En Sarriá and they'll probably say, "never heard of him."
One thing for sure though is that the farmers of this delicious small orange fruit certainly understand all the theories he expounded on supply and demand.
This year the harvest of nisperos has been so good, about 18 million kilos, because of favourable winter weather conditions that there is a massive imbalance between the numbers on sale and the demand for them.
Prices have plummeted and farmers are worried that they won't even cover their costs. It's a serious problem for the estimated 3000 families whose sole income comes from the fruit, especially since last year when a sudden extremely cold snap wiped out much of the fruit on the trees.
At present the farmers have tons and tons of nisperos stored in refrigerated warehouses in an attempt to keep the market from becoming totally flooded. In addition production plants are working overtime bottling them as jam, fruit juice, liqueurs and honey which can be sold at any time during the year.
Visitors to the picturesque Algar Falls in Callosa will have ample opportunity to sample the nispero in all its many forms, and Alfred Marshall, who never once mentioned it in his theories, would be pleased to hear that demand for nispero t-shirts sold there, far outstrips supply.
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