Please explain what is the impact of the price cap on the consumption of natural gas in Europe. Explain the characteristics of supply and demand (quantity and price) in this situation and consider the global market for natural gas and what would be the equilibrium if there were no political subsidies to maintain the price cap in Europe. Kindly consider the impact on supply and demand in a first step, then how this impacts the economy by including references if possible.

Please consider starting with an introduction and finish with a conclusion.