Administered Rate
An administered rate is a type of pricing system used by companies to set prices for their products and services. It is a form of price control, where the company sets a price for a product or service and then adjusts it according to market conditions. Administered rates are often used in industries where there is a lack of competition, such as utilities, and can be used to ensure that prices remain stable and fair.
History of Administered Rates
The concept of administered rates has been around since the early 20th century, when it was used by governments to regulate the prices of essential goods and services. This was done to ensure that prices remained fair and stable, and to protect consumers from exploitation. In the modern era, administered rates are still used by governments to regulate prices in certain industries, such as utilities, and to protect consumers from price gouging.
Comparison of Administered Rates
| Type of Rate | Description |
|---|---|
| Market Rate | A rate set by the market, based on supply and demand. |
| Administered Rate | A rate set by a company or government, and adjusted according to market conditions. |
Summary
Administered rates are a type of pricing system used by companies and governments to set prices for their products and services. They are used to ensure that prices remain stable and fair, and to protect consumers from exploitation. For more information on administered rates, you can visit the websites of the Federal Trade Commission, the U.S. Department of Justice, and the U.S. Department of Energy.
See Also
- Price Control
- Price Gouging
- Supply and Demand
- Utility Regulation
- Price Discrimination
- Price Fixing
- Monopoly
- Oligopoly
- Competition Law
- Antitrust Law
