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What is the primary purpose of maximum price legislation?
  • a)
    To ensure the product quality
  • b)
    To protect consumers from high prices
  • c)
    To promote market competition
  • d)
    To prevent shortages of essential goods
Correct answer is option 'B'. Can you explain this answer?
Most Upvoted Answer
What is the primary purpose of maximum price legislation?a)To ensure t...
The primary purpose of maximum price legislation is to protect consumers from high prices. Maximum price legislation, also known as price ceilings, is implemented by the government to set a limit on the price that can be charged for a particular product or service. The aim is to ensure affordability and prevent price exploitation, especially for essential goods or during times of crisis. By capping prices, the government aims to make goods more accessible to consumers.
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What is the primary purpose of maximum price legislation?a)To ensure the product qualityb)To protect consumers from high pricesc)To promote market competitiond)To prevent shortages of essential goodsCorrect answer is option 'B'. Can you explain this answer?
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