price floor
Lowest allowable charge
A price floor is a minimum price set by law or regulation, below which a good or service cannot legally be sold.
The most familiar example is the minimum wage—a floor on the price of labor.
Price floors are typically set above market equilibrium to protect sellers: The government established a price floor on milk to support dairy farmers.
When binding, price floors create surpluses, as quantity supplied exceeds quantity demanded at the artificially high price.
Amount exceeding requirement
- oversupplyExcess beyond demand
- inefficiencySuboptimal use of resources
- glutExcessive surplus
- stockpileAccumulated reserve supply
Lowest lawful hourly rate
- agricultural subsidiesGovernment payments to farmers
- rent controlHousing price regulation
- government interventionPublic authority involvement
- non-bindingNot legally enforceable
regulation · legislation · mandate · antitrust · trade policy
Lowest lawful hourly rate
- living wageIncome covering necessities
- fair wageAdequate compensation for labor
- worker protectionMeasures guarding employee welfare
- labor marketEmployment supply and demand
Fungible traded good
- dairyMilk-based foods collectively
- wheatCereal crop for flour
- cornCereal grown on cobs
- soybeansProtein-rich Asian legume
farmers · harvest · livestock · quota · farm subsidy · crop insurance · grain reserves
Tax on traded goods
- anti-dumpingCountering below-cost imports
- trade barrierRestriction on imports
- safeguardPrecaution against harm
- protectionismShielding local producers
surplus
Amount exceeding requirement
- oversupplyExcess beyond demand
- inefficiencySuboptimal use of resources
- glutExcessive surplus
minimum wage
Lowest lawful hourly rate
- agricultural subsidiesGovernment payments to farmers
- rent controlHousing price regulation
- government interventionPublic authority involvement
non-binding · regulation · legislation · mandate · antitrust · trade policy
minimum wage
Lowest lawful hourly rate
- living wageIncome covering necessities
- fair wageAdequate compensation for labor
- worker protectionMeasures guarding employee welfare
commodity
Fungible traded good
soybeans · farmers · harvest · livestock · quota · farm subsidy · crop insurance · grain reserves
tariff
Tax on traded goods
- anti-dumpingCountering below-cost imports
- trade barrierRestriction on imports
- safeguardPrecaution against harm
- economic policymonetary policy, tax policy, fiscal discipline, fiscal stimulus, fiscal restraint
- economic controlstariff, quota, sanction, embargo, trade restriction
- price controlsrent control, interest cap, usury laws, minimum wage, wage controls
- carbon tradingcarbon credits, carbon offsets, emissions trading, cap-and-trade, carbon market
- market distortionmonopoly, cartel, tariff, quota, collusion
- Negotiation Termsdeadlock, bargaining, negotiation, stalemate, compromise
price floorprice ceiling
Mandated maximum charge
maximum price · price cap · rent control · maximum wage · usury laws
floor, price, prices, priced, pricing, overpriced, unpriced, pricier, priciest