administered price
C2Formal, Technical (Economics, Business, Policy)
Definition
Meaning
A price fixed by a government, producer, cartel, or regulating authority rather than being determined by free market forces of supply and demand.
A price set by an authoritative entity for goods or services, often to control markets, stabilize prices, protect producers or consumers, or achieve social or economic policy goals. This contrasts with market-determined prices.
Linguistics
Semantic Notes
The term inherently suggests a lack of competition and a top-down control mechanism. It is often used in contrast with terms like 'market price' or 'equilibrium price'. The word 'administered' implies an ongoing process of management or regulation.
Dialectal Variation
British vs American Usage
Differences
The term is used identically in concept. Spelling differences follow regional norms for other words (e.g., 'administered' vs. 'administered' - same spelling).
Connotations
Generally neutral-negative in both varieties, associated with market interference, potential inefficiency, or anti-competitive practices. In specific policy contexts, it can have a neutral or positive connotation (e.g., price controls on essentials).
Frequency
Low frequency in general discourse, but standard and equally used in technical economic and business literature in both regions.
Vocabulary
Collocations
Grammar
Valency Patterns
The [authority] administered a price for [product].An administered price was set on [product] by [authority].[Product] is subject to an administered price.Vocabulary
Synonyms
Strong
Neutral
Weak
Vocabulary
Antonyms
Phrases
Idioms & Phrases
- “Not a typical source for idioms.”
Usage
Context Usage
Business
Used when discussing pricing strategies, market regulations, or competition law. 'The industry operates on administered prices, limiting consumer choice.'
Academic
Central in economics and political science to discuss market structures, government intervention, and welfare economics.
Everyday
Virtually unused. A layperson might say 'price control' or 'fixed price' instead.
Technical
Precise term in microeconomics and industrial organization to describe prices in monopolistic, oligopolistic, or regulated markets.
Examples
By Part of Speech
verb
British English
- The government may administer prices for essential medicines.
- The regulator is considering administering prices in the energy sector.
American English
- The agency has the authority to administer prices for agricultural commodities.
- They proposed administering prices to curb inflation.
Examples
By CEFR Level
- The government set a fixed price for bread. (Concept introduced with simpler vocabulary)
- In some markets, prices are not set by competition but are controlled by authorities.
- Economists argue that administered prices can lead to shortages.
- The prevalence of administered prices in the pharmaceutical industry is a major concern for proponents of free trade.
- The commission's report criticised the system of administered prices, claiming it stifled innovation and efficiency.
Learning
Memory Aids
Mnemonic
Think of a doctor ADMINISTERing medicine at a specific dose. An 'administered price' is a price given at a specific, controlled level by an authority.
Conceptual Metaphor
PRICE IS A PRESCRIPTION (set by an authority for the 'health' of the market/economy). MARKET IS A MACHINE (an administered price is an external control, not an emergent property).
Watch out
Common Pitfalls
Translation Traps (for Russian speakers)
- Avoid direct calque 'администрированная цена'. Use 'регулируемая цена', 'установленная цена', or 'фиксированная цена'. In economic contexts, 'административная цена' is sometimes used but is a semi-calque.
Common Mistakes
- Using it to mean simply 'a price that was charged' (e.g., 'The shop administered a price of £10'). The term requires an institutional, regulatory context.
- Confusing it with 'administrative price' (which is not standard).
Practice
Quiz
What is the primary characteristic of an administered price?
FAQ
Frequently Asked Questions
Not necessarily. While often criticised for causing inefficiency, administered prices (like price caps on utilities or minimum wages) can be used to achieve social goals, prevent exploitation, or stabilise essential markets during crises.
A 'price ceiling' is a type of administered price—a maximum price set by an authority. 'Administered price' is a broader term that includes any authoritatively set price, including floors, fixed exact prices, and formula-based prices.
Yes, if it has monopoly power or is part of a cartel. However, in many jurisdictions, such private price administration (collusion or price-fixing) is illegal. The term is more commonly used for government or regulatory action.
It is more common in analytical and academic commentary than in headline news. Journalists might use more accessible terms like 'price control', 'fixed price', or 'government-set price' for a general audience.