Book · An Inquiry into the Wealth of Nations
Page 141 of 2651
Author: Adam Smith
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When the quantity brought to market is just sufficient to supply
the effectual demand, and no more, the market price naturally
comes to be either exactly, or as nearly as can be judged of, the
same with the natural price. The whole quantity upon hand can be
disposed of for this price, and can not be disposed of for more.
The competition of the different dealers obliges them all to
accept of this price, but does not oblige them to accept of less.
The quantity of every commodity brought to market naturally suits
itself to the effectual demand. It is the interest of all those
who employ their land, labour, or stock, in bringing any
commodity to market, that the quantity never should exceed the
effectual demand; and it is the interest of all other people that
it never should fall short of that demand.
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