Fair Price Determination
Price (of goods or service) is determined at the point where the demand curve meets the supply curve . This was one of the first lesson of economics taught to us in junior college. They’d still be doing the same, I guess. A separate note may be required to illustrate that this method of price determination has resulted in certain goods and services being priced obnoxiously high or obnoxiously low. It may also be argued that because of this, the social inequalities have widened further. Also, economic sustainability of certain professions has come under serious threat, irrespective of the fact that the services are life essentials. The income potential of many service providers, in absolute terms is so low that it questions the sustainability a society where price is determined by this mechanism. But this is a separate subject in itself. We’re assuming its understanding for the purpose of this note. Academically, it may be argued that these anomalies will get correc...