You’d naively expect, for most things, that if the price goes down, the supply goes down.
I think they mention in Economics 101 that there are two major exceptions to this: labor and land.
It’s usually said the other way round (if the price goes up, the supply goes up), and then it’s obvious that the supply of land is more or less constant, and the supply of labor of poor people is “as much as they can” and if you pay them too much they become rich and now they can choose to work less and have more free time.
I think they mention in Economics 101 that there are two major exceptions to this: labor and land.
It’s usually said the other way round (if the price goes up, the supply goes up), and then it’s obvious that the supply of land is more or less constant, and the supply of labor of poor people is “as much as they can” and if you pay them too much they become rich and now they can choose to work less and have more free time.