If people can't afford the equilibrium price for a good, would it be a good idea for the government to force the producer to produce it and give it to the poor people? Why or why not?
If people can't afford the
Before deciding whether government intervention is fair or not we first need to think about what kind of good we are talking about. Well, you may face many goods in your life that you can not afford. Before starting production every producer faces three questions - what to produce, how to produce, and for whom to produce. Some goods are not meant to be produced for everyone and some goods are there that every family needs. For Example -There are some cars that are only affordable to wealthy people and that should not be a concern for everyone because that is meant to be produced for wealthy people but the affordability of public transport should be a concern of everyone.
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