Suppose the government believes textbooks are too expensive and it wants to make sure textbooks are affordable to more students. This type of price control is called a price _, and one possible binding price control would be _.

Price ceiling is the setting a price limit by the government to make it affordable for the general public or a class of people to buy the commodities and products. In this case the price set are binding price control. Once the price is set which is lower than the price previously charged, so the demand increases due to its inverse correlation with the price. So the price previously charged was higher and demand of the product was lower. So if the government sets the price $40 which is lower than the one previously charged then the demand would be increased.

Suppose the government believes textbooks are too expensive and it wants to make sure textbooks are affordable to more students. This type of price control is called a price _____, and one possible binding price control would be _____.

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Suppose the government believes textbooks are too expensive and it wants to make sure textbooks are affordable to more students. This type of price control is called a price _, and one possible binding price control would be _.