SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : Qualcomm Incorporated (QCOM)
QCOM 168.09+1.8%Nov 28 9:30 AM EST
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Jon Koplik who wrote (15384)9/23/1998 10:59:00 AM
From: kech  Read Replies (2) of 152472
 
Jon- "more buyers than sellers". Let me take a shot at this conundrum. The confusion is that if the price of something is too low, then there are more buyers than sellers. This occurs until the price rises until it reaches the point at which there are the same number of buyers as sellers. At this point, trade takes place and there is a trade - and there is a buyer for every seller! This is known as the parable of the "Walrasian auctioneer" in setting prices.

Be prepared for big yawn... More commonly this is known as the difference between equilibrium and disequilibrium from Econ 101. If one envisions a demand and supply curve crossing, then if the price is below the intersection point (equilibrium point), the price crosses the upward sloping supply curve further to the left on the x axis than it crosses the demand curve. This is a measure of the fact that there are fewer "sellers" than "buyers". Tom
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News