• anonymous
Do producers favor price supports or price ceilings and why? Do producers favor price supports or price ceilings and why? @Economics - Finan…
Economics - Financial Markets
  • chestercat
See more answers at
At vero eos et accusamus et iusto odio dignissimos ducimus qui blanditiis praesentium voluptatum deleniti atque corrupti quos dolores et quas molestias excepturi sint occaecati cupiditate non provident, similique sunt in culpa qui officia deserunt mollitia animi, id est laborum et dolorum fuga. Et harum quidem rerum facilis est et expedita distinctio. Nam libero tempore, cum soluta nobis est eligendi optio cumque nihil impedit quo minus id quod maxime placeat facere possimus, omnis voluptas assumenda est, omnis dolor repellendus. Itaque earum rerum hic tenetur a sapiente delectus, ut aut reiciendis voluptatibus maiores alias consequatur aut perferendis doloribus asperiores repellat.

Get this expert

answer on brainly


Get your free account and access expert answers to this
and thousands of other questions

  • anonymous
Producers wil obvious favor Price Supports from the govt as that means that the price will not go below the support and this guarantees the producer at least a mimimum profit. They would NOT like a price ceiling as that would prevent them from raising the price even if their costs went up. wmw
  • anonymous
I agree with WWENDT sir. And as we all know in the current scenario everyone just wants to make profit with less risk. So, the producers want to have a support price from the government i.e., the minimum price they will be able to recieve in extreme case. But if their will be an upper ceiling that will bind them to sell below or at that level that is they cannot sell above that ceiling so it will reduce there profit upto a certain level. Hence, producers want a support price but not an upper ceiling.

Looking for something else?

Not the answer you are looking for? Search for more explanations.