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Government justifiable or desirable in economy

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Sometimes the government intervenes in the market system by setting prices on certain products-goods or services-below or above the market(equilibrium) prices. Such prices are either 'price ceilings' or 'price floors'.Please note the definitions of these concepts. Refer to the example of rent control ( on apartment buildings) used in the textbook. If such rent controls were implemented in River Falls(or your own home town), who would benefit and who might be 'harmed'(affected negatively) by such government intervention in the housing market? .

Would you support a cap(price ceiling) on college tuition? Why or why not? Is your group in agreement on this?

In your opinion, using the example of minimum wages, is price- setting by the government justifiable or desirable in our economy?

Reference no: EM131799226

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