Economics: Price Floor & Price Ceilings

Cost/Benefit Analysis of Price Floors and Price Ceilings

Directions: Each business will discuss and answer each scenario.

Scenario	Price Floor or Price Ceiling + (Causes What?)	Costs and Losers	Benefits and Gainers
1. Because they are necessary, the government should not permit doctors charge more than $25 for an office visit.
2. The government should set a maximum price for electricity.
3. There should be a limit on the amount cell phone companies charge.
4. Dairy farmers should be guaranteed a minimum price for their milk to make  sure we have a good supply.
5. If gasoline prices get too high, the government should set a limit on them.
6. The minimum wage should be higher.