JAMB - Economics (2016 - No. 11)
From the graph above P2 in price control situation is referred
Minimum price
Shut-down price
Maximum price
Mark-up price
Paaiškinimas
Price control is a limit set by a government on the price that can be charged by companies for particular products or services. From the diagram above, P2 represents the minimum price at which firms can sell their products.
The minimum price is the lowest amount companies are allowed by law to charge for their products. It is usually above the equilibrium price.