Legal Definitions - ceiling price

A ceiling price is the maximum price that can be charged for a product or service. It is usually set by the government or a regulatory agency to protect consumers from being charged excessively high prices.

For example, if the government sets a ceiling price of $2 for a loaf of bread, no one can legally sell it for more than $2. This ensures that consumers can afford to buy bread and are not taken advantage of by sellers who may try to charge more during times of high demand.

Another example is rent control, where the government sets a ceiling price on how much landlords can charge for rent. This is done to prevent landlords from charging exorbitant rents and to ensure that affordable housing is available to everyone.

Overall, ceiling prices are a way to protect consumers from being exploited by sellers who may try to take advantage of their needs or wants by charging excessively high prices.