There is deadweight loss in the market for cycling classes because the current price is less than the equilibrium price. However, the price is not adjusting upward. What caused this?

Question

Quizplus · Accepted Answer

A price ceiling, which is a legal maximum price for a good or service, can cause deadweight loss by preventing the price from adjusting upward to the equilibrium price, leading to a shortage.

There Is Deadweight Loss in the Market for Cycling Classes