A price ceiling set below the equilibrium price will result in a shortage.

Name: A price ceiling set below the equilibrium price will result in a shortage.
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Question

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When a price ceiling is set below the equilibrium price, it creates a situation where the quantity demanded will exceed the quantity supplied. This leads to a shortage, as consumers are willing to buy more of a product than producers are willing to supply at the lower price.

A Price Ceiling Set Below the Equilibrium Price Will Result