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The price can no longer segregate those potential buyers and sellers who can buy or sell from those who cannot.

A different principle for the allocation of the goods and services concerned and for the selection of those who are to receive portions of the supply available necessarily comes into operation.

If the government's price ceiling refers only to one consumers' good or to a limited amount of consumers' goods while the prices of the complementary factors of production are left free, production of the consumers' goods concerned will drop.

The marginal producers will discontinue producing them lest they suffer losses.

The government interfered because it considered these commodities especially vital, necessary, indispensable. It is therefore, from the point of view of the government, absurd and nonsensical.

If the government is unwilling to acquiesce in this undesired and undesirable outcome and goes further and further , if it fixes the prices of all goods and services of all orders and obliges all people to continue producing and working at these prices and wage rates, it eliminates the market altogether.

One refers to absolute rent, the other to monopoly prices.

The maximum price results in a restriction of supply because the marginal producers suffer losses and must discontinue production.

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It considered precisely those commodities so vital that it singled them [p.

It may be that only those are in a position to buy who come first, or only those to whom particular circumstances (such as personal connections) assign a privileged position, or only those ruthless fellows who chase away their rivals by resorting to intimidation or violence.

If the authority does not want chance or violence to determine the allocation of the supply available and conditions to become chaotic, it must itself regulate the amount which each individual is permitted to buy.

Its primary function is the direction of production.

It directs the employment of the factors of production into those channels in which they satisfy the most urgent needs of the consumers.




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Furthermore, she was another man's wife, so I had put horns on her husband, which was an additional rude awakening to me. Not that it was hard to agree to either of those two things." "What about Jimmy, you know..actual husband? " I was a bit shaken up by now, knowing that Sandra had connived with her sister to have a substitute wife planted in our bed and kitchen. The one that stuck out most was when my father-in-law teased me about signing my life away, "for the next few years away." That was a curious statement, as was my mother-in-law telling me, "I look forward to seeing more of you in the few years." As the light dawned on me, I saw Kelly's face change and, "Yes, he's catching up to us," pop up on her face. To think that I was gonna stay on the Pill, so as not to stick him with your baby.


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