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To: Lake
I do know dog meat is much more popular in Korea than in China, so I can reasonably assume that dog meat may not be more expensive than beef or seafood there. The demand-supply curve of economics tells us the price goes down when you can sell more.

The demand-supply curve says price goes down when supply goes up compared to demand. It does not correspond to the amount sold. If you have one widget for sale but noone wants it, the price will be very low. If you have one widget and everyone wants it, the price will be very high. Your assumptions are as bad as your economics.

449 posted on 07/01/2002 6:17:29 PM PDT by cinFLA
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To: cinFLA
>>The demand-supply curve says price goes down when supply goes up compared to demand.

The demand-supply curve says price goes down when supply goes up as a result of demand increase. In a complete competition supply does not go up if demand does not go up. No one will produce more than they can sell.

>>It does not correspond to the amount sold.

It does in a complete competition.

>>If you have one widget for sale but noone wants it, the price will be very low.

That's not the case of complete competition. You will make ZERO widget if there is no demand for it.

>>If you have one widget and everyone wants it, the price will be very high.

If you have one widget and everyone wants it, more widget makers will get into the widget market and the price will be much lower than that for the sale of a single widget after the market reaches the equilibrium point on the demand-supply curve.

>>Your assumptions are as bad as your economics.

My assumptions are reasonable for the Korean dog meat market. There are no monopolies and the price is not government-regulated. You better look up your econ textbook before you talk about the price again.

451 posted on 07/01/2002 6:44:33 PM PDT by Lake
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