Can someone help me with this Supply and Demand question? MicroEconomics.

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Econstudent26
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So if a producer sells a product on a market. what happens to the supply and demand curves, if he is offered to additionally sell his product at a lower price on a different market. Consumers from the original market cannot buy from the cheaper market and vice versa.

What would also happen to the curves if the price on the second market was higher?

Any help please?
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Caius Filimon
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(Original post by Econstudent26)
So if a producer sells a product on a market. what happens to the supply and demand curves, if he is offered to additionally sell his product at a lower price on a different market. Consumers from the original market cannot buy from the cheaper market and vice versa.

What would also happen to the curves if the price on the second market was higher?

Any help please?
Rather complete guess here but here goes:


In terms of the first scenario of being offered a 2nd market to sell at a lower cost, I can only imagine a supplier doing that if the supply line is inherently much farther right than in the 1st market. An example would be if there were, say, government subsidies offered in the 2nd market and import quotas/tariffs in the 1st market so there could not be importing done from the 2nd, cheaper market.


In the second scenario where the 2nd market offers a higher price, the supply curve would shift to the left to less quantity and higher price in the first market as the producer shifts products from the first market to the second one (assuming it is possible; think tariffs/import and export quotas/safety and health standards etc), eventually causing both markets to reach the same price, albeit different quantities being sold.
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