Interaction between demand and supply

Answer 1

The price of any commodity is determined based on the Demand and Supply theory.

When the demand for a product is high and its supply low - it triggers a price increase

When the demand for a product is low and its supply high - it triggers a price fall

Answer 2

when the demand is high and supply is low the price goes up.
When the demand is low and supply is high the price goes down

For example. If you walked down the street and it started raining your demand would be high. And if there was only one umbrella left at the stand that seller could charge you pretty much whatever he wanted because you need his supply.

And when a store purchases too much of one item. Say, too many liters of one soda, they try to sell them quickly and at a low price

Answer 3

supply and demand and the economy system is interrelated to each other. It like man and his heart. If heart bits stops man die and viseversa.so in economy if demand and supply function well in a nation then definitely the economic system goes up, it doesn't matter with what goes up and what goes down in society. i mean by supply and demand of course it effects the whole economy system.

Answer 4

Demand is how much customers are wanting. Supply is how much of a product there is. They work together in business.

Answer 5

your momo