Question

What is control price and support price

Answer 1

In economics,a price support may be either a subsidy or a price control,both with the intended effect of keeping the market price of a good higher than the competitive equilibrium level. In the case of a price control, a price support is the minimum legal price a seller may charge, typically placed above equilibrium.

Answer 2

Answer:

• Price controls are restrictions set in place and enforced by governments, on the prices that can be charged for goods and services in a market
• The minimum support price is an agricultural product price, set by the Government of India to purchase directly from the farmer. This is not enforceable by law. By definition, this rate is to safeguard the farmer to a minimum profit for the harvest, if the open market has lesser price than the cost incurred