Can you explain the basic concept of supply and demand and how they interact in the market?

Supply and demand are fundamental economic concepts. Supply refers to the quantity of a good or service that producers are willing to sell at various prices. Demand refers to the quantity that consumers are willing to buy at various prices. The interaction of supply and demand determines the market price and quantity of goods sold. When demand exceeds supply, prices rise, and when supply exceeds demand, prices fall. This equilibrium helps allocate resources efficiently in a market economy.

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