Question

Identify the correct pair of items from the following Columns I and II:

Columns I	Columns II
(1) Price Floor	(a) Government imposes below the equilibrium price.
(2) Price Ceiling	(b) It is the maximum price, the producers of goods or services are allowed to charge.
(3) Price Floor	(c) Government does it in the interest of consumers.
(4) Price Ceiling	(d) Government imposes lower limit on the price, which is higher than the equilibrium price.

पर्याय

• 1 - (a)

• 2 - (b)

• 3 - (c)

• 4 - (d)

Answer 1

2 - (b)

Explanation:

The government sets a price ceiling that is lower than the equilibrium price. When the equilibrium price is too expensive for consumers to afford basic products such as education and agricultural goods, the government sets the maximum price in the customers' best interests.