Question
Why is it important that prices are flexible in our economy? Do you think the government should control the level of prices for products that
Why is it important that prices are flexible in our economy? Do you think the government should control the level of prices for products that are really important, i.e., gasoline?
I believe flexible prices are important because higher prices provide producers with more money for resources, therefore continuing production. Lower prices provide consumers with affordability and sometimes a sense of accomplishment. I think the government should have a hand in the decision on prices solely because some companies could potentially raise prices to ridiculous amounts, therefore, creating scarcity for the poor and middle class. But with some companies such as oil companies, they accumulate such a large revenue that gas prices should be capped off at a lower price, or even to match the average cost of living.
What's your thought?
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started