A price ceiling set below equilibrium will: A. force some firms in this industry to go out of business. B. result in a product surplus. C. result in a product shortage. D. clear the market.
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- USD.13 An increase in a price ceiling will change the amount of a good sold in a market: Selected answer will be automatically saved. For keyboard navigation, press up/down arrow keys to select an answer. a if the price ceiling is effective. b regardless of whether or not the ceiling is effective. c if the price ceiling is ineffective. d if demand is inelastic.If there is any price ceiling and price floor imposition on these two products, 1. Sony Television 2. Samsung Mobile phone what would be the effect?Which of the following will make an extension of supply? a. Rise in price b. Rise in subsidy c. Fall in subsidy d. Fall in price
- If the Equilibrium reminding the same. However, the ceiling and floor is shifting from 3.00 to 4.50 and 2.50. what will be happening on supply and demand curve? (a) A Price Floor That Is Not Binding Price of Ice-Cream Cone Equilibrium price 2 0 100 Equilibrium quantity Supply Price floor Demand Quantity of Ice-Cream Cones Price of Ice-Cream Cone $4 Equilibrium price 0 (b) A Price Floor That Is Binding Surplus 80 Quantity demanded 120 Quantity supplied Supply Price floor Demand Quantity of Ice-Cream Cones__________________ is the price ceiling above which there is no demand for a product: Select one: a. Production costs b. Customer's perception of value c. Maximum selling price d. Competitor's pricesa. Price ceilings create shortages if they are set b. Which of the following are price ceilings? the minimum wage price controls on prescription drugs an agricultural price support rent control below the equilibrium price.
- PRICE (Dollars per blinkie) Demand 70.00 A 55.00 40.00 B C D E F 6 9 QUANTITY (Blinkies) Supply ?Price $4 $2 $1 0 A B C Market for Good X What is the condition in the market for good X with an effective price ceiling at $2? D Supply X Demand 50 100 150 200 250 Quantity There is a surplus of 50 units. There is a surplus of 100 units. There is a shortage of 50 units. There is a shortage of 100 units.An effective price ceiling: A. Increases the quantity supplied. B. Is set above the equilibrium price. C. Results in a surplus. D. Is set below the equilibrium price.
- When a price ceiling is imposed on a competitive market at a level above the equilibrium price: a. the consumer surplus is reduced. producers lose some or all of the producer surplus. the total surplus is not changed by the price ceiling. both the producers and consumers lose surplus.If a legal ceiling price is set above the equilibrium price, • a shortage of the product will occur. a surplus of the product will occur. a black market will evolve. neither the equilibrium price nor the equilibrium quantity will be affected.FIGURE 4-5 Maximum allowed price PE Qo Quantity of Gasoline Refer to Figure 4-5. What is occurring in the market for gasoline? A price ceiling has been imposed resulting in a surplus of gasoline. OA price floor has been imposed resulting in a shortage of gasoline. A price floor has been imposed resulting in a surplus of gasoline. A price ceiling has been imposed resulting in a shortage of gasoline. Price of Gasoline
