Who Decides The Price Of Goods In The Market? In most cases, prices are set by the marketing department. This is because the price of a product affects how potential customers view a product or service. Therefore, marketing often takes the lead in setting, or at least strongly suggesting, the prices for products and services.
What Is Price Controls In Economics? Price controls are government-mandated minimum or maximum prices set for specific goods and services. … Over the long term, price controls can lead to problems such as shortages, rationing, inferior product quality, and black markets. What do you mean by price control? Price controls are simply government restrictions on
What Is Price Floor And Price Ceiling? Price ceilings prevent a price from rising above a certain level. … Price floors prevent a price from falling below a certain level. When a price floor is set above the equilibrium price, quantity supplied will exceed quantity demanded, and excess supply or surpluses will result. What is