An illegal market in which the price exceeds a legally imposed price ceiling is called a
A) subsidised market.
B) surplus market.
C) fair market.
D) shortage market.
E) black market.

Question

Quizplus · Accepted Answer

An illegal market in which the price exceeds a legally imposed price ceiling is called a black market. This occurs when there is excess demand for a good or service at the legally imposed price, leading to a shortage. Sellers may then charge a higher price in the black market to take advantage of the excess demand, despite the illegality of doing so.

An Illegal Market in Which the Price Exceeds a Legally