If the price ceiling is set above the equilibrium price,
A) quantity demanded will equal quantity supplied.
B) there will be a surplus.
C) there will be a shortage.
D) demand will be less than supply.

Question

Quizplus · Accepted Answer

When a price ceiling is set above the equilibrium price, it has no effect, and the market remains at equilibrium where quantity demanded equals quantity supplied.

If the Price Ceiling Is Set Above the Equilibrium Price