law of supply
Definition
An economic theory which states that a company faced with constant demand will be able to raise prices inversely to shrinking available supply; conversely, the company may lower prices inversely to increased supply. If demand fluctuates, the corresponding price of supply will move in the opposite direction to the demand. Opposite of law of demand.
Related Articles
- Types of Cash Investments *
- Credit Derivatives *
- Finding a Financial Advisor Means Looking Past the Neighborhood *
- "Buy Condor" Stock Option Investment Strategy *
- Forex Trading: Which Style is Yours? *
- Short-Term Investment Choices *
- Can Commodities Affect Currency Rates? *
- Introduction to Mutual Funds and their Advantages *
Related Videos
http://www.businessdictionary.com/definition/law-of-supply.html
