Assume that you have conducted a market study for organic, hand-made, artisan, small batch chocolate chip ice cream in the Hampton Roads area. After extensive research (and tasting), you have determined the simplified market supply and demand functions can be expressed as: Q(s) = -20 + 3P(ice cream) and Q(d) = 120 - 2P(ice cream) where P(ice cream) is the price of a gallon of chocolate chip ice cream in the region.

A. Local governments in the area, responding to the calls for supporting your local ice cream industry, are considering passing a price floor. The proposed price floor would be set at $32 dollars a gallon. As a consumer of ice cream and a local citizen, what impact would this price floor have on the market for organic, hand-made, artisan, small batch chocolate chip ice cream in the Hampton Roads area? Ensure that you calculate any deviations from the market equilibrium (if any) and specify whether a shortage or surplus exists (if it does).

B. Instead of a price floor, the government decides to impose a price ceiling of $24 a gallon. As a consumer of ice cream and a local citizen, what impact would this price ceiling have on the market for organic, hand-made, artisan, small batch chocolate chip ice cream in the Hampton Roads area? Ensure that you calculate any deviations from the market equilibrium (if any) and specify whether a shortage or surplus exists (if it does).