Ch 6 review

Minimum legal price that can be paid for a good/service

The more competitive a market, the more __________ prices adjust.

The maximum legal price that can be charged for a product/service

The most common non-price allocating system is ______.

Prices in a market are not flexible.

Minimum wage is an example of a price ceiling.

Ration allocating systems help prevent corruption.

When social goals are forced on the economy, it prevents

We use _____ as the allocating system in the united states.

Ration allocating systems have high administrative costs.

Price allocating systems have no administrative costs.

Price allocating systems help rebalance & absorb "shocks" to the economy.

Rent controls/caps are an example of a price floor.

Price links ____________ and consumers.

Prices in a competitive market are ______, they don't care who you are.

Ration allocating systems cause diminishing incentive among producers.

The monetary value of a product established by supply & demand