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is enacted to protect the producer, while prices floors may benefit some people, the larger effect of a price floor is excess supply.

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is enacted to protect the consumer, the government forces price ceilings to enable consumers to buy essentials.

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allows markets to adjust quickly when major events such as wars and natural disasters interfere with the production or movement of goods.

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prices function as an incentive because they represent potential for profit.

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a system that combines aspects of both capitalism and socialism.

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Demand and Supply Explained- Macro Topic 1.4 (Micro Topic 2.1)

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Prices are used to show information for consumers and producers. To help make a de.