J. B. Say, an economist from the early 19th century, is credited with stating, A supply creates its own?

Question

demand. Today, some economists appear to argue that A demand creates its own supply. Briefly explain why neither statement is precisely correct.

Answer 1

Supply creates demand = firms advertize their products
Demand creates supply = firms start making something that people want (e.g. energy-saving light bulbs)

Answer 2

If you see no demand for the item, why would you run the risk of trying to supply it. On the other hand there was no demand for cars, trucks, or planes until some one risked all and made them. If the demand is there the risk factor for failure is very low: but if you must make the demand to sell your item, you have a very high risk of failure. It all depends on how much faith you have in your self, your product, and your marketing plan.
Most people choose to go the route of lowest risk and choose to fill a demand that does exist all ready. Then you have the dreamer who makes some thing then convinces people that they want and need it. Higher risk means more profit if your right; or egg on your face if your wrong!