• commie@lemmy.dbzer0.com
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    2 days ago

    supply and demand is a theory about price discovery. it doesn’t dictate production levels

    • Honytawk@feddit.nl
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      2 days ago

      Of course it does. That is the “supply” side.

      Supply is directly linked with demand and price. It is a triangle of commerce. If either of those lowers, then it is prudent to lower supply as well or face overhead.

      • commie@lemmy.dbzer0.com
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        2 days ago

        supply and demand is a theory about price discovery. it does not dictate production. if you have some other theory, I’ll be happy to read it.