Latest news shows that the local officer in Beijing are discussing increase minimum wage for cleaner from RMB 1500 to RMB2300 per month. Answering the following question by your own words. 1) In which circumstances, will government conduct price control? What are two types of price control? Give an example for each type. 2) 3) Which causes a shortage of goods or services? justify your answer with a graph.

Latest news shows that the local officer in Beijing are discussing increase minimum wage for cleaner from RMB 1500 to RMB2300 per month. Answering the following question by your own words. 1) In which circumstances, will government conduct price control? What are two types of price control? Give an example for each type. 2) 3) Which causes a shortage of goods or services? justify your answer with a graph.

Microeconomics

13th Edition

ISBN:9781337617406

Author:Roger A. Arnold

Publisher:Roger A. Arnold

Chapter3: Supply And Demand: Theory

Section3.3: The Market: Putting Supply And Demand Together

Problem 3ST

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What would be the impact of imposing a price flour below the equilibrium price?