Market Price
The price determined by the interactions of all consumers and producers in the marketplace.
For example, suppose that the market price for a burger has been U.S. $10 for a number of years. Suddenly, the market price shifts to U.S. $20 when it is announced that only half of this year's burgers will be sold in stores. In this case, a drop in supply causes the market price to increase.
For example, suppose that the market price for a burger has been U.S. $10 for a number of years. Suddenly, the market price shifts to U.S. $20 when it is announced that only half of this year's burgers will be sold in stores. In this case, a drop in supply causes the market price to increase.