Grocer's Law

Grocer's Law states that the price of an item is often determined by its demand and supply in the market, rather than the actual cost of producing it. For example, when many people want a popular product, the price tends to rise, even if the cost to produce that product hasn’t changed. Conversely, if a product isn't in demand, its price may fall. This principle helps explain pricing strategies in retail and economics, illustrating how market forces influence consumer prices independently of the underlying production costs.