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The imosition of a
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- If a price floor is not binding, then the equilibrium price is above the price floor. the equilibrium price is below the price floor. there will be a surplus in the market. there will be a shortage in the market.With a price ceiling above the equilibrium price, quantity demanded would exceed quantity supplied. quantity supplied would exceed quantity demanded. the market would be in equilibrium. the equilibrium price would be expected to fall over time.Use suitable examples to explain the likely effects of a price ceiling.
- Suppose the equilibrium price is $10. Then a price ceiling of $15 would Be ineffective. Force the market price to $15. Force the market price to somewhere strictly between $10 and $15. Cannot be determined.how can price controls be used to avoid prices from increasing furtherA price ceiling is intended to benefit which group of people? consumers producers The Government
