What i don’t understand that why the price goes up for finished products, it is already made, raw materials used and manufacturing is paid.
If the store already has 10 TVs in the store, why the price go up?
If you have a given amount of packaged bread already in the store why the price goes up?
Edit1: Lightbulb from many: Restock… You need to restock on current price, if you don’t follow the price you gonna lose money
However the “willing to pay” argument is kind of maddening, because with basic necessities like food “willing to pay” is reversed, controlled by seller and transformed to “have to pay and going to do so”
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> If the store already has 10 TVs in the store, why the price go up?
Because *the demand is higher* than the supply. If a dozen people go to that store, each wanting to buy a TV, some of them will be willing to pay a higher price to make sure they don’t end up among those two who don’t get a TV.
What happens at an auction when two or more people bid on the same item? Its price goes up until there’s only a single person willing to pay that much for it.
Supply and demand are the determining factors. It’s not about the costs of the product or service but about how the amount available relates to the amount needed. Demand exceeding supply makes prices go up. Supply exceeding demand makes prices go down.
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