If the price in a market is fixed by the government above equilibrium.
There is excess equilibrium
There is excess supply
There is excess demand
There is equilibrium
Which of the following is the government most likely to subsidizes ?
Negative externalities
Positive exrternalities
Monopolies
Oligopolies
Merit goods are
Not provided in the free market economy
Under provided in the free market economy
Over provided in the free market economy
Provided free
If the price is a market is fixed by the government below equilibrium.
If the market price is below the equilibrium price
Demand will be less than supply
Quantity demanded will be less than quantity supplied
Quantity demanded will be greater than quantity supplied
Quantity demanded will equal quantity demanded
If a government were to fix a minimum wage for adult workers,economist would predict
Wages in general would fall as employers tried to hold down costs
The costs price of firms employing cheap labour would increase
Fewer young workers would be employed
There would be more unemployment
A price ceiling is
The minimum price that consumers are willing to pay for a good
The differences between the initial equilibrium price the equilibrium price after a decrease in supply
A maximum price usually set by government ,that sellers may change for a good
A minimum price usually set by government that sellers must charge for a good
When supply increases is an an agricultural market farmers earnings might fall because
Supply is price elastic
Demand is price inelastic
The government buys up all the excess production
All output must be sold at a maximum price
If a maximum price is set above equilibrium there will be:
A price fall
A price increase
Excess supply
Excess demand
With a positive externally
There is under consumption in the free market
There is over consumption is the free market
The government may tax to decrease production
Society could be made off less was produced.
