They will be willing to make more and sell more as the price goes up. This way they can maximize profits. Now that we have covered both demand and supply we have to combine both together. The place where what sellers are willing to sell for and buyers are willing to buy for is called market or equilibrium pric e. This is the price the product will sell for.
Price is negotiation between the buyers and the sellers.
To figure out price one has to law the supply and demand next top each other. When we then plot and draw both curves together we are able to see the market price of the product. The market price for cookies in this graph is 30 cents. The quantity sold and bought is 1100 cookies. Prices are key ingredients in our economy because they make things happen.