"Price floor is a system to protect the interest of producer". Defend

1.	"Price floor is a system to protect the interest of producer". Defend or refute.
Answer» <html><body><p><br/></p>Solution :The government imposes lower limit on the price that may be <a href="https://interviewquestions.tuteehub.com/tag/charged-7263949" style="font-weight:bold;" target="_blank" title="Click to know more about CHARGED">CHARGED</a> for a particular good or service is called price floor. When equilibrium price determined by market forces of demand and supply is considered to be <a href="https://interviewquestions.tuteehub.com/tag/unremunerative-7721301" style="font-weight:bold;" target="_blank" title="Click to know more about UNREMUNERATIVE">UNREMUNERATIVE</a> for the <a href="https://interviewquestions.tuteehub.com/tag/producer-1167788" style="font-weight:bold;" target="_blank" title="Click to know more about PRODUCER">PRODUCER</a>, the government intervenes to protect the interest of producers.</body></html>

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