When A Price Ceiling Is In Effect Quizlet? Price ceilings create five important effects: Shortages, reductions in product quality, wasteful lineups, a loss from gains to trade, and a misallocation of resources. What happens when wages are set above the equilibrium level by law? What happens when wages are set by law above the equilibrium
What Type Of Price Control Is Minimum Wage? Minimum wage is a basic government-imposed price control. Price controls set a floor indicating what minimum price must be paid for certain good or services. Governments set price controls to ensure individuals receive a fair wage at various jobs. Is minimum wage a price control? Minimum wage
When Governments Set A Maximum Price That Can Be Charged For A Good Service It Called? The two major types of government price controls are price ceilings and price floors. A price ceiling is a government-mandated maximum price that can be charged for a good or service. What happens when the government sets a maximum