1)If there is a shortage due to a binding price ceiling, can the price rise to eliminate the shortage? Why or why not?

2)If there is a surplus due to a binding price floor, can the price drop to eliminate the surplus? Why or why not?

3)If there is a shortage due to a binding price ceiling, sellers use rationing mechanisms other than price to allocate the goods in shortage. Provide two such rationing mechanisms and explain why they are inefficient and/or undesirable.

4)What problems can rent control cause other than a housing shortage?

5)How can a black market and hoarding cause a shortage to become worse?

6)What is surplus of labor called in the labor market?