explain why do economists usually oppose controls on prices.?

Answer 1

Because controls are alwasy ultimately unsustainable. Whenever governments try to control prices, people find ways around the controls. This is why blackmarkets emerge. If it costs $X to produce something and the government caps the price at something less, then it just won't be supplied and no-one will be able to buy it, except on the blackmarket if they are willing to pay $X (plus something because of the risk of getting caught). If the control is to set a minimum price, then people will often trade on the cash economy where the transaction can't be traced.

Answer 2

Because price controls violate the free market system. When you allow markets to not control prices, it decreases supply. At a given price, the supply will be X. At this price, it is financially worth it for a company to supply the item. If the price is X-N, then companies will not supply the item at X, but X-N.

Also, what free market conservatives like me want is the government to remove the burdensome regulation that causes costs to be higher than needed.

Answer 3

controls on prices artificially prop up or depress true value.