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This chapter discusses extensions to demand and supply analysis including price ceilings, price floors, and quantity restrictions. It explains how simultaneous shifts in supply and demand can lead to uncertain outcomes for equilibrium price and quantity. Specifically, it provides an example of how a decrease in supply and increase in demand for vinyl records leads to an unambiguous increase in the market clearing price and net increase in equilibrium quantity. The chapter also outlines how characteristics o

Author

prabhjot kaur

Language

EN