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A minimum price legislation is also called

A minimum price legislation is also called
Take Free Practice Test On 2026 JAMB UTME, Post UTME, WAEC SSCE, GCE, NECO SSCE
  • A Price ceiling
  • B Price floor
  • C Price control
  • D Price mechanism
Correct Answer: Option B
Explanation:
Minimum price is often called price floor and it is fixed by the government to protect the producer or seller. Minimum price is set above the equilibrium price and when this occur, there will be excess supply over demand i.e surplus.

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