This is true, but not for all commodities. The trick is to figure out which price is the equilibrium point and then use the price to determine what you should do. It’s not so easy to determine that point, though. It’s a moving target.
We have to do a bit of math first. The equilibrium price is the price at which the supply and demand curves cross. To figure out this point we must first figure out where the supply curve is. We know that the supply curve is the line that represents the quantity of supply that exists at a given price. To figure out where the supply curve is, we start with the price and add on the quantity of supply at the price, until we get back to the supply curve.
When we are getting the supply curve, we must calculate the quantity of supply at the price and then add on the quantity of demand. That’s where price starts to get more elusive, because the quantity of demand at any given price is the quantity of demand which exists at the price.
I think that it’s important to note that the price-demand curve is not a straight line. It is a curve that bends and twists and turns. That means that the price-demand curve is not a straight line, but it is a curve that is going to curve. The reason we are not interested in the straight line curve is because it would imply that we are not interested in the supply curve. We are interested in only the demand curve.
The supply curve is a graph (or a more sophisticated mathematical idea) that shows the value of a given product at a given price. The demand curve is a graph that shows the price of that product at a given value. The supply and demand curves represent a balance between the quantity of supply and the quantity of demand. In other words, the quantity of goods that will be produced at a given price will be equal to the quantity of demand that exists.
When you see that a supply curve graph is horizontal, this shows that supply (or the number of items that are in stock) is falling as demand (or the percentage of consumers who buy) does. When the supply curve is horizontal, the supply is falling and the price of the product (the price at which the supply is at the point of equilibrium) is going up.
This is also, of course the point when the price of the product equals the cost of production. When the supply curve is vertical, the price is going lower and the price is going up.
The curve is basically the same when the price of a product falls, but the price moves up. The curve becomes more and more horizontal as the price of the product goes up. It’s a trick that is sometimes called a double-edge effect, and it’s not always a good way to use this graph. In fact, when you’re trying to calculate a curve, you will never actually use the curve as a function of the line that you have drawn.
The double-edge effect is basically when a curve cuts across a line, and the graph doesn’t just cut across the line, it cuts across it. This will happen when the line is horizontal, so if you go from a vertical line to a horizontal line, it will be a curve. Its a really cool diagram, and can be handy for making sure you’re using the right graph.