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Question : Administered prices refer to:

Option 1: Prices are determined by forces of demand and supply.

Option 2: Prices determined by sellers in the market

Option 3: Prices determined by an external authority which is usually the government

Option 4: None


Team Careers360 20th Jan, 2024
Answer (1)
Team Careers360 23rd Jan, 2024

Correct Answer: Prices determined by an external authority which is usually the government


Solution : The correct answer is (c) Prices determined by an external authority which is usually the government.

Administered prices are prices that are set by an external authority, such as the government. These prices are not determined by the forces of demand and supply in the market. Administered prices are often used to control inflation or to ensure that certain goods and services are available at a certain price.

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