price floor

USAGE SUMMARY

"price floor" is correct and usable in written English.
It is typically used when discussing economics or in business contexts, and refers to "the lowest legal price a producer can charge for a product". For example: The government has enforced a price floor in order to protect consumers from large corporations setting exorbitant prices.

✓ Grammatically correct

News & Media

Academia

Science

Human-verified examples from authoritative sources

Exact Expressions

60 human-written examples

We don't have a price floor.

The New York Times

That's the role of a price floor.

University of California, Berkeley

We will never propose a price floor," he said.

The New York Times

People in the industry are arguing for a price floor.

The Economist

Howard, R. Next steps for the carbon price floor.

Nature

The offer establishes a timeline and a price floor for other potential bidders.

The New York Times

"The Commission does not support the idea of a price floor.

The New York Times

Lehrman said that if the Yankees set a price floor, it will backfire.

The New York Times

In October, the three-member commission created a price floor for some types of backup power.

The New York Times

Unlike California's cap and trade program, the EU-ETS has no price floor.

University of California, Berkeley

A price floor supports doing more when the cost is low.

University of California, Berkeley

Expert writing Tips

Best practice

When discussing government interventions in markets, clearly define what the "price floor" aims to achieve, such as protecting producers or ensuring a minimum income level.

Common error

Avoid using "price floor" interchangeably with "price ceiling". A "price floor" sets a minimum price, while a "price ceiling" sets a maximum price. Understand the fundamental difference to prevent miscommunication.

Linguistic Context

The phrase "price floor" functions as a noun phrase, typically used as a subject or object within a sentence. Ludwig AI confirms its correct usage and common occurrence in economic and business contexts, denoting an imposed lower limit on the price.

Expression frequency: Very common

Frequent in

News & Media

45%

Academia

30%

Formal & Business

15%

Less common in

Science

5%

Encyclopedias

0%

Wiki

0%

Ludwig's WRAP-UP

In summary, "price floor" is a noun phrase denoting a legally imposed minimum price. Ludwig AI validates its grammatical correctness and frequent usage, particularly in discussions of economics, business, and government policy. It's important to distinguish it from a "price ceiling" and to understand its potential impacts on market equilibrium. Authoritative sources like The New York Times and The Economist frequently use this term, solidifying its place in professional and academic discourse. Remember to use this term accurately to avoid confusion in your writing.

More alternative expressions

Phrases that express similar concepts, ordered by semantic similarity:

floor price

Slightly alters the word order while retaining the original meaning.

minimum price level

Replaces 'floor' with 'level', emphasizing the establishment of a minimum price.

lower price limit

Focuses on the restrictive aspect of setting a limit on how low prices can go.

minimum acceptable price

Highlights the acceptability threshold for pricing.

guaranteed minimum price

Stresses the assurance of a minimum price, implying a safety net.

base price

Suggests a fundamental or starting price point.

price support

Emphasizes the action of maintaining a price at a certain level.

price threshold

Indicates a boundary or limit in pricing.

minimum bid price

Specifically refers to the lowest acceptable price in a bidding context.

price benchmark

Indicates a standard or reference point for pricing.

FAQs

How does a "price floor" affect the market?

A "price floor" can lead to surpluses if the set minimum price is above the equilibrium price, as suppliers will want to supply more than consumers demand at that price.

What is an example of a "price floor" in agriculture?

Agricultural subsidies that guarantee farmers a minimum price for their crops are a common example of a "price floor", aiming to protect farmers from volatile market prices.

What are the potential drawbacks of implementing a "price floor"?

Potential drawbacks include increased costs for consumers, inefficient allocation of resources, and the need for government intervention to manage surpluses, which can be costly.

How does a "price floor" differ from a "price ceiling"?

A "price floor" sets a minimum legal price, preventing prices from falling below that level, while a "price ceiling" sets a maximum legal price, preventing prices from rising above that level.