Let's say the government imposed a minimum price of $2.00 on chocolate bars - the competitive market equilibrium price was $1.20.

1. Is this an example of a binding price floor or price ceiling?
2. Who benefits, consumers or producers?
3. What is the quantity demanded by consumers at this higher price?
4. What is the quantity suppliers are willing to supply at higher price?

Is there a surplus or shortage of chocolate bars in