“There is a need for rules and regulations to ensure protection for consumers". Give two arguments in support of the statement.
OR
Why are rules and regulations needed in the market? Explain with examples.
RULES and regulations are required for the protection of the consumers in the market place. Consumers often find themselves in a weak position. Whenever there is a complaint regarding goods or services that had been bought, the seller tries to shift all the responsibility on to the buyer.
- Rules and regulations are necessary to prevent unfair trade practices prevailed in the market place such as over charging by giving sub-standard quality of goods, providing duplicate articles or by giving false or incomplete information etc.
- Not only this, markets do not work in a fair manner when producers are few and powerful whereas consumers purchase by small amounts and are scattered. Therefore, rules and regulations are necessary to prevent all such malpractices.