Price floors are used as a method to:
A) ensure buyers that goods won't be cheaper tomorrow.
B) see that production levels don't fall too low.
C) guarantee there will be enough food for everyone.
D) ensure sellers a minimum price for their goods.

Question

Quizplus · Accepted Answer

Price floors are set by governments or organizations to ensure that sellers receive a minimum price for their goods or services. This is typically done to support a specific industry or to protect the livelihoods of workers in that industry. For example, the government may set a price floor on dairy products to ensure that dairy farmers receive a fair price for their milk. However, price floors can also lead to surpluses of goods and services, as buyers may not be willing to pay the higher price, which can lead to waste or inefficiencies in the market.

Price Floors Are Used as a Method To