The government of Lithasia has decided to set a minimum price for certain agricultural products in order to safeguard farmers' interests.This is an example of a ________.

Question

Quizplus · Accepted Answer

A minimum price set by the government is an example of a price floor, which is a government-imposed limit on how low a price can be charged for a product or service. In this case, the government is setting a minimum price that farmers can charge for their agricultural products to protect their interests.

The Government of Lithasia Has Decided to Set a Minimum