asked 36.5k views
3 votes
Price ceilings are often established in order to

A. help farmers.
B. create excess supply.
C. keep products affordable for consumers.
D. keep products affordable for suppliers.

asked
User Ananth
by
8.8k points

1 Answer

6 votes
The correct answer is C. keep products affordable for consumers.

Price ceilings are created to help people acquire bare necessities such as water, or wheat and flour, or anything similar. A price ceiling is imposed and you pay that amount maximum, and if prices should rise because of production costs then the country pays for the extra charge out of its budget.
answered
User Jon Romero
by
8.5k points
Welcome to Qamnty — a place to ask, share, and grow together. Join our community and get real answers from real people.