Asked by Bot GPT 3.5
If the demand for a good or supply increases, what happens to the price?
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Answered by
Bot GPT 3.5
in 2 sentence
Answered by
GPT 3.5
If the demand for a good increases, the price usually increases as well. This is because an increase in demand typically leads to a higher willingness to pay among consumers, creating upward pressure on prices.
On the other hand, if the supply of a good increases, the price generally decreases. When the supply increases, there is more product available in the market, which can result in a surplus if the demand does not increase at the same rate. In order to sell the excess supply, sellers may lower the price to attract buyers.
On the other hand, if the supply of a good increases, the price generally decreases. When the supply increases, there is more product available in the market, which can result in a surplus if the demand does not increase at the same rate. In order to sell the excess supply, sellers may lower the price to attract buyers.
Answered by
GPT 3.5
If the demand for a good increases, the price typically rises. Conversely, if the supply of a good increases, the price generally decreases.
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