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Note also that supply and demand do not care who a person is or what his background may be.  The store owner sells a chocolate candy bar for the same price to the richest man in the world as to the poorest man in the world.  The President pays the same price as the most disliked person in town.  Supply and demand, and the free market, treats everyone fairly and equally.  Someone who walks into a candy store and offers to buy '''''all''''' the candy bars in the store may receive a slightly better price per candy bar because he is paying so much, but he won't receive any better treatment than anyone else, even the most disreputable person in town, who might also offer to buy all the candy bars in the store.  The free market responds to powerful economic forces above any possible prejudice, gossip, or personal preferences.
 
Note also that supply and demand do not care who a person is or what his background may be.  The store owner sells a chocolate candy bar for the same price to the richest man in the world as to the poorest man in the world.  The President pays the same price as the most disliked person in town.  Supply and demand, and the free market, treats everyone fairly and equally.  Someone who walks into a candy store and offers to buy '''''all''''' the candy bars in the store may receive a slightly better price per candy bar because he is paying so much, but he won't receive any better treatment than anyone else, even the most disreputable person in town, who might also offer to buy all the candy bars in the store.  The free market responds to powerful economic forces above any possible prejudice, gossip, or personal preferences.
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The "market price" set by supply and demand often is often unrelated to the historical cost of the good.  Someone may have paid $300,000 for his house in 2006, when houses were relatively expensive, but the market price of that house in 2009 may be only $150,000.  When that person tries to sell his house in 2009 it does not matter what he paid for it in 2006.  All that matters is what the supply and demand for that house is when he tries to sell it.
    
==Equilibrium & Information==
 
==Equilibrium & Information==
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