Supply and demand: The NESTED nature of trading dimensions (Part III)

When economists talk about marginal costs do they know which margin? Let's think more clearly about ALL the margins.

In Part I of this Supply and Demand Series, I explained with a clean example of supermarket checkout queues the underlying logic of supply and demand in a market. Housing is a market where trade-offs must be made, so supply and demand must apply.

I explained how supply and demand are tools for helping understand the concept of a market equilibrium, noti…