Principle Of Supply And Demand
Definition of "Principle of supply and demand"
Economic principle determining the market prices of goods, services, and property. The principle states there is a pricing relationship between supply and demand for real property. Economic forces interact affecting the overall pricing relationship. If demand for a given property increases and the supply remains constant, then the price will increase. However, an increase in price will then spur increased supply which will tend to depress prices.
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