A market distortion is a specific type of market failure brought about by
deliberate government regulation which prevents economic agents from freely
establishing a clearing price.
Examples:
Prescribing a certain price (setting price caps as well as price floors) by
non-market means (e.g. price regulation - cf. socialist economy)
Restricting the manufacture or imporation of a certain good, which thereby
restricts supply.
This economics or finance-related article is a stub. You can help Wikipedia
by expanding it.
Retrieved from "http://en.wikipedia.org/wiki/Market_distortion"
From: Wikipedia
Kembali ke halaman muka
MARKET
DISTORTION