The Belgian Chocolate theory of the Dollar

Selling chocolates at the Brussels food fair to explain dollar movements.

From Paul de Grauwe in the Financial Times.

The first day the price was set at €9 for each box. Sales went well. The next day the price was raised to €15 per box. Steeped in economic theory, you might think that demand now declined. Wrong. Demand doubled. On the third day the price was lowered to €2 for each box. Demand for chocolates collapsed. What went wrong with the law of demand?