Question
(a) With justification from the case but without limiting yourself to the same, explain the consequences (both positive and negative) of price ceiling on consumers
(a) With justification from the case but without limiting yourself to the same, explain the consequences (both positive and negative) of price ceiling on consumers and businesses. (10 marks) (b) "Price performs both a rationing function and an allocating function." With the aid of suitable diagrams, distinguish between these functions and show and explain how government intervention modifies price mechanism. (10 marks) (c) As a business manager, suggest measures and policies that can be put in place to get out of the situation described in the case. (10 marks
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