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How are prices determined on a stock market?
Stock deals on exchanges are regulated by supply and demand plain and simple. At any particular time, there is a maximum cost somebody else is prepared to cover a specific inventory and a minimum cost somebody else is prepared to sell shares of this inventory for. Consider stock exchange trading such as an auction, with a few investors bidding for those stocks which other investors are eager to sell. Buy stocks faster than vendors wish to eliminate them, and the cost will go higher. Taking it a step farther, it is important to think about how it is possible to always purchase or sell a stock you have. And that is where economy manufacturers arrive in.