[THEUPMAN]

If the price goes up, I make more profit per watermelon but I sell fewer of them. If the price goes down, I make less profit per watermelon but I sell more of them.

Lets say you can sell all the watermelons you can grow, because as you know, everyone loves watermelons.
As long as the demand remains above your supply, it's good for you to have higher prices. Right?
Of course if some 3erd world farmer keeps dumping his watermelons on to the market, your kind of stuck at his price, you may not even be able to sell all your melons at the lower price.
You may even decide to hold on to your melons until the price goes up.
But that hurts your cash flow .... So what to do? ....

[A_perfect_lady]

But what if you are the one who asked the UN to let the third world peasant dump his watermelons? Why would you do that?

[HankReardon]

You do like the phone company when people started using the internet to talk instead of long distance. You go to the state legislature and have them allow you to charge a new creativelt titled surcharge to make up for the revenue the used to get, anti- free market. This happened here in Ohio, no $hit!. Price of watermelons go down, go to the state house!