Figure 6-2 8 Supply 7 6 4 Price Ceiling 3 Demand 1 30 60 90 120 150 180 210 240 QUANTITY Refer to Figure 6-2. The price ceiling a. causes a shortage of 60 units of the good. O b. makes it necessary for sellers to ration the good using a mechanism other than price. O c.is not binding because it is set below the equilibrium price. O d. causes a shortage of 30 units of the good. PRICE
Figure 6-2 8 Supply 7 6 4 Price Ceiling 3 Demand 1 30 60 90 120 150 180 210 240 QUANTITY Refer to Figure 6-2. The price ceiling a. causes a shortage of 60 units of the good. O b. makes it necessary for sellers to ration the good using a mechanism other than price. O c.is not binding because it is set below the equilibrium price. O d. causes a shortage of 30 units of the good. PRICE
Principles of Economics 2e
2nd Edition
ISBN:9781947172364
Author:Steven A. Greenlaw; David Shapiro
Publisher:Steven A. Greenlaw; David Shapiro
Chapter3: Demand And Supply
Section: Chapter Questions
Problem 57P: A low-income county decides to set a price ceiling on bread so it can make sure that bread is...
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Price ceiling is the situation when government or market regulating authority sets the maximum level of price of a specfiic good in the market.
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