3 ms·

Scarcity is supply below demand, not just low supply. Scarcity implies a shortage, and shortage implies too little, not just low supply, right?

• nickff 10y ago
  More supply than demand only exists for 'free' or 'public' goods. If there are costs of production, nobody (except government) will want to supply more than is demanded, as they will be giving the product away (or paying people) to get rid of it. Garbage is an instance of supply > demand.
  • alasdair_ 10y ago
    As a trivial counterexample, consider the market for bad artwork from amateurs. There is far more (in terms of quantity) supplied than is demanded.
    • nickff 10y ago
      Most of that artwork is literally garbage.