Review/Extra Practice: The Price System {Chapter 5}
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Across
An effect of an increased wage floor.
The gov't sometimes rations a good because the ___ of that good is so low.
Rationing is thought to be an unwise economic policy because in part it is____.
When a shortage exists in a market, price is___ EQ.
When someone who does not produce or consume a product bears part of the cost of its production (i.e., negative ___)
An effect of an increased wage floor.
Prices coordinate the decisions of producers and consumers by balancing the forces of _____.
Gov't regulation that establishes a maximum price for a particular good.
Minimum wage is an example of a __
Higher rates of pay are designed to attract more ___ laborers.
Low-waged "McDonaldized" jobs are ____, designed to allow young people to 'practice' customer service skills.
A benefit provided by the price system.
Down
Exists when the QD is less than the QS.
Minimum wage stereotype.
Market EQ is reached when shortages are increased and surpluses are decreased.
An effect of an increased wage floor.
The price system responds to surpluses and shortages by steering producers and consumers to market equilibrium.
Primary demographic of a minimum wage earner.
The process through which the price system moves the market toward EQ often involves ____.
One limitation of the price system is its failure to assign the costs of ___ to all consumers.
A benefit provided by the price system.
The main form of communication between producers and consumers in a free-enterprise market.
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