what is the difference between floor price and price ceiling?
CAN YOU PLEASE GIVE THE BASIS OF DIFFERENCE ?
Basis of Difference
Maximum level of price that a seller can charge.
Minimum level of price that a seller should charge.
To protect the welfare of poor and vulnerable people of the society.
To protect the welfare of labourers and farmers by ensuring minimum returns.
Maximum Price is set below the equilibrium price.
Minimum Price is set above the equilibrium price.
Leads to excess demand.
Leads to excess supply.