As I always say sometimes, "you can't go higher than the ceiling and you can't go lower than the floor."

Concept #1: Price Ceilings

Example #1: Price Ceilings

Practice: When the government imposes a binding price ceiling, it causes

Practice: A price ceiling will have no impact on a market if it is set

Practice: All of the following are problems associated with price ceilings except:

Concept #2: Price Floors and Black Markets

Practice: Which of the following statements regarding the expected effects of a price control imposed on a competitive market is false?