Consumers bid up the price.
The price that exists when a market is clear of shortage and surplus, or is in equilibrium.
Shortage. :)
The price goes up if the demand is high
The prices increases, because the demand is higher for the product, since there is less of it.
A shortage can be temporary or long-term, but scarcity always exists.
The price that exists when a market is clear of shortage and surplus, or is in equilibrium.
The price goes up if the demand is high
Shortage. :)
if, at a current price there is a shortage of a good
The prices increases, because the demand is higher for the product, since there is less of it.
A shortage can be temporary or long-term, but scarcity always exists.
if, at a current price there is a shortage of a good
The price declines until demand increases.
That is called a shortage of the product. A shortage happens whenever the demand (number of people wanting a product) is greater than the supply (quantity of available product).
The shortage of electrons exists at the positive terminal of a dry cell. The function of the negative terminal is to pick up the electrons.
When supply goes down the equilibrium price tend also to fallcausing the price of commodities to fall and hence shortage of goods and services to the economy.
A surplus or a shortage of a good or service affects the market price directly. When there is a surplus, the prices goes down and when there is a shortage the price increases due to the demand levels.