Gresham's Law is an economic principle that states bad money drives out good. This concept is frequently used to describe situations where low-quality goods or services displace high-quality ones because they are more affordable or easier to obtain. There are several synonyms for Gresham's Law. These include the law of unsought goods, the law of decreasing quality, and the law of disruptive innovation. Essentially, all these terms describe the same phenomenon whereby inferior products or services push out better ones in the marketplace. Gresham's Law is a critical concept for anyone looking to understand the dynamics of supply and demand and the competitive landscape of modern economies.
