Government intervention in the free market政府干预自由市场 - : without government, the market may have under- or over-provision of the goods or services, taxes - : government uses indirect tax as a non-price determinant of supply (to control supply)., subsidies补贴 - : use to increase the production of positive products on society by paying the producers per unit they make. In another way, the production cost for the product is lowered., price ceilings价格上限 - : the government sets a maximum price range that is ALWAYS below the equilibrium. May lead to excess in demand because the controlled, lowered price range is more affordable. (concert tickets), price floors价格下限 - : the government sets a minimum price range that is ALWAYS above the equilibrium. May also lead to an excess in demand. (minimum wage), law and regulation - : laws are the legal limits set on an activity or behavior (alcohol drinking), and regulations are the monitoring of the industries and markets, usually by governmental offices (canned food factories).,

Wordwall: Humanities Eco Review Link 6 - Ways of government-related intervention政府干预方式:

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