The examples used here a symmetrical. The scales are the same length or width. In the "real world" the scales are going to be asymmetrical. The price scale may be wider than the supply scale. The supply scale may be wider than the price scale.
This would cause the configuation on the graph called "funneling". A wider price scale would cause a funnel with the wide end of the funnel to the upper left. A wider supply scale would cause a funnel with the wide end of the funnel to the lower right.
Percentages are then used for the Supply Demand Price Continuum or Price Range Y Axies, also the Supply Range.
If the breakeven band upper limit was 60% price range and 40% supply range, the lower band limit would be 40% price and 60% price. The optimum unit price is at 50% price and 50% supply.
This 50% price marks and demarks where the supply price ends and demand price begins. The supple price of the Supply Demand Price Continuum and Price Range is from 0% the 50%. Demand Price starts at greater than 50% and ends at 100%.
The percentage works the same for the Supply Range. From 0% to 50% is the Demand Supply. Greater than 50% to 100% is the Supply Supply.
It is noticed the SDC also has a built in Price distrubution.
William Charles Simpson 1st Write: Wed, Jan 21, '04 Santa Cruz CA USA
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