﻿1
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let's assume you live in a small town

2
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where nobody sells bananas

3
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in other words zero supply now let's

4
00:00:07,200 --> 00:00:08,849
also assume that the people who live

5
00:00:08,849 --> 00:00:10,920
there would love to eat bananas in other

6
00:00:10,920 --> 00:00:12,690
words there's a decent demand for

7
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bananas as we can see there is currently

8
00:00:15,389 --> 00:00:17,490
an imbalance people want bananas but

9
00:00:17,490 --> 00:00:20,130
there are no sellers Peter understands

10
00:00:20,130 --> 00:00:22,410
this and starts selling bananas at the

11
00:00:22,410 --> 00:00:24,090
beginning his profits will be huge

12
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because lots of people want bananas and

13
00:00:25,890 --> 00:00:28,080
he's the only one who has them as time

14
00:00:28,080 --> 00:00:30,539
passes however sorrow will notice how

15
00:00:30,539 --> 00:00:32,279
well Peter is doing and starts selling

16
00:00:32,279 --> 00:00:35,070
bananas yourself this increases the

17
00:00:35,070 --> 00:00:37,170
supply of bananas and diminishes Peters

18
00:00:37,170 --> 00:00:39,690
profit potential the more people start

19
00:00:39,690 --> 00:00:41,489
selling bananas the more supply there

20
00:00:41,489 --> 00:00:43,710
will be if too many people end up

21
00:00:43,710 --> 00:00:45,510
selling bananas but the demand doesn't

22
00:00:45,510 --> 00:00:47,370
increase as well there will be too much

23
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supply and some of them will go out of

24
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business eventually some kind of a

25
00:00:51,570 --> 00:00:54,770
balance tends to be reached

