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To: Owen
Then there is the “LAW” . . . we got taught it is a LAW OF NATURE that supply and demand determines price. Notice that does not involve money supply?

Are you an idiot?

Money supply enters that equation on the "demand" side. Without money, there is no demand. Increase the money supply, and more people will demand the product, since more people will have that extra money.

18 posted on 01/22/2024 8:45:48 AM PST by ShadowAce (Linux - The Ultimate Windows Service Pack )
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To: ShadowAce

You guys are confusing demand with consumption. Economics would like them to be the same thing, but obviously, in the context of imagination, they are not.

You can want to own a product. That is demand. You can’t buy it because either you can’t afford it — or, to the hatred of economics — it may not exist. There may be scarcity. If a product does not exist (remember the long lines at the gas stations?) your demand will still exist, but your consumption of it will not. REGARDLESS OF PRICE.

And so, supply and demand doesn’t happen. The availability of money doesn’t affect demand. You still want it even if you can’t get it.

Know the details. Don’t lean back and imagine things you were taught were true. Supply and Demand has no relationship to money supply if there is scarcity, and there often is.


22 posted on 01/22/2024 9:24:54 AM PST by Owen (.)
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