Question
I would like assistance with the following questions please and thank you. 1. fill in the blanks. a. A binding price floor is _____ the
I would like assistance with the following questions please and thank you.
1. fill in the blanks.
a. A binding price floor is _____ the free-market equilibrium price.
b. A binding price ceiling is _____ the free-market equilibrium price.
c. Starting from a free-market equilibrium, a binding price ceiling leads to excess ____ and a(n) ____
in the quantity exchanged.
d. With a binding price ceiling, the price is not allowed to ____ to allocate the available supply.
e. Starting from a free-market equilibrium, a binding price floor leads to excess _____ and a(n) ___
in the quantity exchanged.
f. With a binding price floor, the price is not allowed to ______ to eliminate the excess. Often the government steps in to _____ the excess.
g. & h. In markets for agricultural products, the government often imposes a price _____ in an effort to protect producers. In markets for products such as housing or gasoline, the government often imposes a price _____ in an effort to protect consumers.
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