Price controls

Discuss the consequences for different stakeholders when the government imposes a price ceiling on a market.

Discuss the consequences for different stakeholders when the government imposes a price ceiling on a market.

Discuss the consequences for different stakeholders when the government imposes a price ceiling on a market.

Explain the impact of a price floor on market outcomes.

Explain the impact of a price floor on market outcomes.

Explain the impact of a price floor on market outcomes.

Evaluate the effectiveness of price floors in achieving a reduction in the consumption of demerit goods.

Evaluate the effectiveness of price floors in achieving a reduction in the consumption of demerit goods.

Evaluate the effectiveness of price floors in achieving a reduction in the consumption of demerit goods.

Calculate the change in consumer expenditure on rice resulting from the imposition of the maximum price.

Calculate the change in consumer expenditure on rice resulting from the imposition of the maximum price.

Calculate the change in consumer expenditure on rice resulting from the imposition of the maximum price.

State two methods of non-price rationing.

State two methods of non-price rationing.

State two methods of non-price rationing.

Using an appropriate externalities diagram, explain why a government might decide to impose a price floor on a demerit good.

Using an appropriate externalities diagram, explain why a government might decide to impose a price floor on a demerit good.

Using an appropriate externalities diagram, explain why a government might decide to impose a price floor on a demerit good.

Using a demand and supply diagram, explain why the increase in the minimum wage might affect Cambodia’s garment manufacturing competitiveness against other countries in the region (paragraph [4]).

Using a demand and supply diagram, explain why the increase in the minimum wage might affect Cambodia’s garment manufacturing competitiveness against other countries in the region (paragraph [4]).

Using a demand and supply diagram, explain why the increase in the minimum wage might affect Cambodia’s garment manufacturing competitiveness against other countries in the region (paragraph [4]).

State one measure that the government of Nissos might take to deal with this corn surplus, following the imposition of the price floor.

State one measure that the government of Nissos might take to deal with this corn surplus, following the imposition of the price floor.

State one measure that the government of Nissos might take to deal with this corn surplus, following the imposition of the price floor.

Explain one possible advantage and one possible disadvantage of governments setting a price floor in agricultural markets.

Explain one possible advantage and one possible disadvantage of governments setting a price floor in agricultural markets.

Explain one possible advantage and one possible disadvantage of governments setting a price floor in agricultural markets.

Draw and label on Figure 1 a curve that illustrates the price floor in Nissos that leads to a monthly surplus of 3 million kg of corn.

Draw and label on Figure 1 a curve that illustrates the price floor in Nissos that leads to a monthly surplus of 3 million kg of corn.

Draw and label on Figure 1 a curve that illustrates the price floor in Nissos that leads to a monthly surplus of 3 million kg of corn.

Using Figure 1, determine the size of the decrease in monthly corn consumption following the imposition of the price floor.

Using Figure 1, determine the size of the decrease in monthly corn consumption following the imposition of the price floor.

Using Figure 1, determine the size of the decrease in monthly corn consumption following the imposition of the price floor.

Using Figure 1, calculate the change in consumer expenditure on corn in Nissos.

Using Figure 1, calculate the change in consumer expenditure on corn in Nissos.

Using Figure 1, calculate the change in consumer expenditure on corn in Nissos.

Explain why a government might decide to impose a price ceiling on goods and services such as essential foods or rented housing.

Explain why a government might decide to impose a price ceiling on goods and services such as essential foods or rented housing.

Explain why a government might decide to impose a price ceiling on goods and services such as essential foods or rented housing.

Discuss the view that price floors are more effective than subsidies in providing assistance to producers in the agricultural sector.

Discuss the view that price floors are more effective than subsidies in providing assistance to producers in the agricultural sector.

Discuss the view that price floors are more effective than subsidies in providing assistance to producers in the agricultural sector.

Explain why governments impose price floors in the market for agricultural products.

Explain why governments impose price floors in the market for agricultural products.

Explain why governments impose price floors in the market for agricultural products.

Calculate the shortage resulting from the imposition of the maximum price.

Calculate the shortage resulting from the imposition of the maximum price.

Calculate the shortage resulting from the imposition of the maximum price.

Calculate the change in producer surplus resulting from the imposition of the maximum price.

Calculate the change in producer surplus resulting from the imposition of the maximum price.

Calculate the change in producer surplus resulting from the imposition of the maximum price.