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zhannawk [14.2K]
3 years ago
6

Analyze the effects of price ceilings and price floors

Social Studies
1 answer:
dlinn [17]3 years ago
5 0

Answer:

Price ceilings prevent a price from rising above a certain level. When a price ceiling is set below the equilibrium price, quantity demanded will exceed quantity supplied, and excess demand or shortages will result. Price floors prevent a price from falling below a certain level.

Explanation:

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Help would appreciated
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From the given diagram of PPC, point A represents wastage, inefficiency, and unemployment.

<h3>What is PPC?</h3>

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Learn more about the PPC in the related link:

brainly.com/question/16969732

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