What will happen if the demand is high and the supply is also high?

Question

What will happen if the demand is high and the supply is also high?

In: 3

Answer 1

So supply and demand are the sides of the graph where:

Supply is a downward line (more supply alone would decrease price to sell)
Demand is the upward line (more demand alone would increase price to sell)

So they are offset in a way

Supply 10 price $2

With more supply and more demand all you know for sure is that Supply increases, not whether price goes up or down.

Supply 100 price could be anywhere around 1.90 to 2.10 since demand is still increasing those people will still pay a similar price.