> greedy sellers increase price because of the increased demand The way supply and demand works can be more subtle than that. Imagine two sellers selling the s

> greedy sellers increase price because of the increased demand The way supply and demand works can be more subtle than that. Imagine two sellers selling the same widget, one has 50 units and is selling at $100, the other has 60 units and is selling at $120. As long as the demand is below 50 units, buyers will prefer the first seller, and the price will be $100. Once the demand gets above 50 units, the first seller has no more units, and the price is now $120 since buyers have no choice other than buy from the second seller. Notice that at no moment did any of the sellers increase their price. And the reason for the second seller starting with a higher price is most probably not greed, but higher costs (for instance, their store being in a place with a higher rent).