A price floor is a government- or group-imposed limit on how low a price can be charged for a product. A price floor must be greater than the equilibrium price in order to be effective.
Read more about Price Floor: Effectiveness of Price Floors, Effect On The Market, Minimum Wage
Famous quotes containing the words price and/or floor:
“The price on the wanted
poster was a-going down, outlaw alias copped my stance
and moody greenhorns were making me dance; while my mouth’s
shooting iron got its chambers jammed.”
—Ishmael Reed (b. 1938)
“Because humans are not alone in exhibiting such behavior—bees stockpile royal jelly, birds feather their nests, mice shred paper—it’s possible that a pregnant woman who scrubs her house from floor to ceiling [just before her baby is born] is responding to a biological imperative . . . . Of course there are those who believe that . . . the burst of energy that propels a pregnant woman to clean her house is a perfectly natural response to their mother’s impending visit.”
—Mary Arrigo (20th century)