If the demand for pizza falls, pizza suppliers will suffer economic losses and some firms will leave the industry. Why is this considered good? Shouldn't we feel sorry for these business owners?

Economics: Private and Public Choice (MindTap Course List)
16th Edition
ISBN:9781305506725
Author:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Publisher:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Chapter23: Price-searcher Markets With Low Entry Barriers
Section: Chapter Questions
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If the demand for pizza falls, pizza suppliers will suffer economic losses and some firms will

leave the industry. Why is this considered good? Shouldn't we feel sorry for these business owners?

 

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