Ceiling Prices

Ceiling Prices

 

(Russian, limitnye tseny), in the USSR, the upper limit on the price level for a particular type of product.

Ceiling prices are set when the production of new types of articles (materials) and nonstandard equipment is being planned. They are also used for calculations of the estimated cost of capital construction in relation to the articles and materials being used when these articles lack confirmed wholesale prices at the moment that drafts and estimates for construction are being made. Ceiling prices are determined by the organization that issues the assignment for designing these new products. When series production is being considered, the ceiling price must be confirmed by the manufacturing enterprise.

Different systems of calculating ceiling prices are used depending on the type of product or its purpose. Ceiling prices for new articles (materials) that will replace previously incorporated output are calculated by a special methodology for determining wholesale prices for new products. Ceiling prices for new single-type articles (materials) not intended to replace previously incorporated products are established using the technical and economic parameters included in working out the cost estimates of capital construction projects; these prices are estimated using a reduced cost factor (for most sectors it is 0.8). Ceiling prices for fundamentally new articles (materials) being made for the first time in the USSR are determined on the basis of consolidated norms of material and labor expenditures. For non-standard equipment (articles), group ceiling prices are computed in reference to the technical-economic index (such as unit of power, productivity, or usable capacity) that is appropriate to the particular equipment group and determined chiefly by its operating characteristics.

The use of ceiling prices in the stage of planning new types of articles (materials) makes it possible to establish their economic efficiency in advance and thus avoid the development of products that are not beneficial to the national economy.

REFERENCES

Koshuta, A. A. Tseny na produktsiiu mashinostroeniia. Moscow, 1969.
Komin, A. N. Problemy planovogo tsenoobrazovaniia. Moscow, 1971.

A. P. ANTONOV

References in periodicals archive ?
We do not know the contents of the bill, but according to the minister, apart from stipulating the imposition of ceiling prices on bread, water and milk there was a provision allowing the extension of the price controls to other goods.
The National Pharmaceutical Pricing Authority (NPPA) has notified the ceiling prices in respect of 404 medicines till last month under the Drugs Prices Control Order (DPCO), 2013.
The Consultant Will Conduct A Study And Analysis Of The Installations And Prepare And Present A Report To The Board On The Findings Of To-date Completed Inspections Prior To The Development Of The 2017 Ceiling Prices And As Requested.
Recently, the National Pharmaceutical Pricing Authority ( NPPA) fixed and notified ceiling prices up to June 30, 2014, for 440 of the 680 items in the National List of Essential Medicines ( NLEM) that is part of Schedule I of the Drugs ( Price Control) Order of 2013 ( DPCO).
There is no easy answer to the problem -- it is not the imposition of ceiling prices which the Christofias government unsuccessfully toyed with -- which is why the debate about petrol prices is unlikely to ever end.
Sector representative said some last minute ticket prices may increase by up to 400 or 450 Turkish Liras, and they expected the ceiling prices to be around 300 liras.
Industry executives estimated the 2010 household appliance bid to bring Taiwanese suppliers heftier profit than that they enjoyed from 2009 bids thanks to higher ceiling prices this year.
The price collar contracts set floor and ceiling prices for a portion of Devon's natural gas production.
If the applicable monthly price indices are outside of the ranges set by the floor and ceiling prices in the various collars, Devon and the counterparty to the collars will settle the difference.
Approximately 40% to 45% of estimated crude oil production for the fourth quarter of 2002 is protected at weighted average floor and ceiling prices of $20.
AKEL has made sure that there is no questioning of the law's usefulness by accusing anyone who dared express doubts about it, of being against ceiling prices and of not wanting to help low income earners.
The floor and ceiling prices for each category of the request has already decided by the country s Ministry of Ecology, Sustainable Development and Energy.