Not Enough or Too Much

Not enough or too much; it’s a delicate balance. In this activity, you will select a country and explore the concepts of price ceiling and price floors and market shortages and surpluses.

IMPORTANT

COMPLETE THE FOLLOWING:

Locate a recent article (published within the last year) that discusses either the price ceiling or price floor, and market shortages and surpluses of a good or service from your selected country at a macro level. You can use the Hunt Library, newspapers, news stations, or other credible sources to locate an article. Analyze your selected country’s good or service and determine whether it has a market shortage or surplus.

THE FOLLOWING WILL BE COMPLETED:

Consider the following for our in-class discussion:

• Identify the country and the good or service selected.
• Analyze supply and demand curves.
• Examine the concepts of price ceilings and price floors.
• Explain the causes and predict the effect of changes in demand and supply on the equilibrium price and quantity.
• Differentiate between consumer surplus and producer surplus.
• Discuss whether your selected good or service results in a market surplus or market shortage and explain why.

In responding to your peers state:

• Whether you agree or disagree with the findings and why.
• A probing question that facilitates further discussion of the topic.