Cows versus Hens (optional material)
We have described this market as a market for cows, purchased at a price measured in hens. Alternatively, it could be regarded as a market for hens, purchased at a price in cows. In the latter analysis, the key terms are all reversed. Buyers of cows become sellers of hens, while sellers of cows become buyers of hens. Demand and supply are measured in hens rather than cows. What was previously described as a temporary shortage of cows, resulting from a price below the equilibrium point, is now viewed as a surplus of hens, resulting from a price above equilibrium. Similarly, a temporary surplus of cows is translated into a shortage of hens. The fundamental principles, of course, remain valid under this interpretation.

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