Three identical homes in a neighborhood were listed at the same time in a market where demand was constant. According to the law of supply and demand, which would have sold for the lowest price?

Question

Business

Orlando Daniel

29 May, 04:08

Three identical homes in a neighborhood were listed at the same time in a market where demand was constant. According to the law of supply and demand, which would have sold for the lowest price?

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Answers (1)

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Juliette Brandt · Answer 1

So then as we can see if the demand is constant the first sold would be the correct answer for this case. Because assuming the demand constant and we have more than 1 supplier with the same price the first one would sold the good or service on this case the house.

Explanation:

The law of demand and supply "is an inverse relationship between the supply and prices of goods and services when demand is unchanged. If there is an increase in supply for goods and services while demand remains the same, prices tend to fall to a lower equilibrium price and a higher equilibrium quantity of goods and services".

So then as we can see if the demand is constant the first sold would be the correct answer for this case. Because assuming the demand constant and we have more than 1 supplier with the same price the first one would sold the good or service on this case the house.