"Supply and Demand" is a book written by Hubert Henderson that explores the economic principles of supply and demand. The book examines how prices are determined in a free market economy and how changes in supply and demand affect those prices.
Henderson argues that prices serve as signals in a market economy, reflecting the underlying conditions of supply and demand. When demand for a product or service is high relative to its supply, prices will rise, incentivizing producers to increase production and meet the demand. Conversely, when supply exceeds demand, prices will fall, discouraging production and encouraging consumption.
Henderson also discusses how changes in supply and demand can be affected by factors such as technology, government policies, and consumer preferences. He argues that understanding the principles of supply and demand is essential for policymakers and business leaders in making informed decisions about economic issues.
Overall, "Supply and Demand" is a concise and accessible introduction to the principles of economics, and remains an important work in the field today.
