What is a likely outcome of a government-imposed price floor on a product?

A government-imposed price floor is a minimum price set above the market equilibrium price for a product. This means that sellers cannot sell the product for less than this price, which can lead to a surplus of goods. For example, if the government sets a price floor on milk, and the market price is usually lower, farmers may produce more milk than consumers are willing to buy at that higher price. As a result, there will be excess milk that goes unsold, which can lead to waste and financial losses for producers. Overall, while the intention might be to support sellers, a price floor can disrupt the natural balance of supply and demand in the market.