Which situation is the most likely result of a price ceiling being set below the equilibrium price?

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16-11-2017
Business

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Which situation is the most likely result of a price ceiling being set below the equilibrium price?

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W0lf93 W0lf93 · Answer 1 · 2017-11-25T17:11:33+01:00

W0lf93 W0lf93

25-11-2017

This can create a shortage in the market. This means that there is too much demand for a good and not enough product to cover it. This creates restrictions on the products that people are allowed to buy, which decreases the profit potential.

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