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What is the purpose of a price ceiling?
please I need it right now :'(​

What is the purpose of a price ceiling? please I need it right now :'(​-example-1
User Scarass
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2 Answers

2 votes

Answer:

To protect the poor.

Step-by-step explanation:

By keeping prices to a certain maximum, price ceilings guarantee that certain basics are affordable to everyone.

User Ionut Alexandru
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3 votes

Answer:

B. To enable rationing

Step-by-step explanation:

The purpose of price ceiling would be to enable rationing.

A price ceiling represents an imposed price control over a product. It is the maximum amount a manufacturer or a supplier is allowed to charge for a product within an economy.

Price ceilings are imposed so as to ensure that prices of products remain within the range of an average consumer within a population and prevent excessive upward movement of prices.

Price ceilings help in rationing. It ensures that an average consumer is not overcharged for products in as much as the manufacturer/suppliers get reasonable profit for their production.

User Martini
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