Use the following to answer questions:
-(Table: The Market for Pop)Use Table: The Market for Pop.If the government imposes a price ceiling of $0.50 per can of pop,there will be:
A) a shortage of two cans.
B) a shortage of three cans.
C) a surplus of three cans.
D) equilibrium in the market for soda.

Question

Use the following to answer questions: 
-(Table: The Market for Pop)Use Table: The Market for Pop.If the government imposes a price ceiling of $0.50 per can of pop,there will be:
A) a shortage of two cans. 
B) a shortage of three cans. 
C) a surplus of three cans. 
D) equilibrium in the market for soda.

Quizplus · Accepted Answer

At a price ceiling of $0.50, the quantity demanded will be 7 cans of pop, while the quantity supplied will be 4 cans of pop. This will result in a shortage of 3 cans.

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