3 ms·

By definition, supply and demand perfectly match whenever money changes hands.

• PaulDavisThe1st 2y ago
  That's not what "supply" or "demand" means and I suspect you know this. The "law of supply and demand" is a statement about aggregate, not individual behavior. "supply satifies demand" is not a statement about an inidividual transaction in which a person's desires/needs/wants were satisfied, it is about the aggregate behavior within an economy.
  • dalmo3 2y ago
    The statement about the aggregate is meaningless without the materialised, individual transactions, because those are what determine the price. I think of it as an order book where supply is the ask and demand is the bid. You can only argue that supply never meets demand if there's no liquidity, but that doesn't refute the "law".
    • PaulDavisThe1st 2y ago
      The forest and the trees are not the same thing.