Should you buy fruit from the busiest stall at a market?
Crowds reveal demand, not necessarily value.
Market crowds attract attention because they provide visible evidence that many people made the same choice.
The hidden mechanism is turnover signaling. A busy fruit stall often replaces inventory more frequently, reducing the amount of time produce spends waiting to be sold.
Imagine two vendors selling similar fruit. One serves customers continuously while the other receives only occasional sales. Faster turnover may result in fresher inventory even when quality begins at the same level.
A second-order effect develops when shoppers start using crowds as a shortcut for evaluating quality. Popular stalls become even busier because people trust the behavior of others.
People often think crowds indicate the best fruit. More reliably, they indicate the fastest-moving fruit.
