CHAPTER SIX. PRICES. When demand meets supply Demand greater than supply – shortage Supply greater than demand - surplus. Equilibrium. Price ceilings Rent control Price floors Minimum wage. Government interference with prices. Read 137-140
Please provide an example of each.Question of the Day
Moving toward Equilibrium prices?
- Price and quantity will move toward equilibrium levels
Two Factors that can lead to Disequilibrium
-Shift in supply curve
-Shift in demand curveChanges in Market Equilibrium