Quantitative Analysis of Price Ceilings and Floors: Finding Points

5. Consumer and Producer Surplus; Price Ceilings and Price Floors / Quantitative Analysis of Price Ceilings and Floors: Finding Points / Problem 8

Problem 8

If the quantity demanded is 4000 units and the quantity supplied is 2500 units due to a price ceiling, what is the shortage?

2000 units

500 units

1500 units

1000 units