True. When a price floor is placed above the equilibrium price, the quantity supplied exceeds the quantity demanded, resulting in excess supply or surpluses.
Price ceilings keep prices from rising above a specific threshold.
Whenever a price ceiling is set lower than the equilibrium price, the quantity demanded exceeds the quantity supplied, resulting in excess demand or shortages.
Price floors keep a price from dropping below a predetermined level.
When a price floor is placed above the equilibrium price, the quantity supplied exceeds the quantity demanded, resulting in excess supply or surpluses.
Price control takes place when government laws monitor and control prices rather than allowing market forces to determine prices.
Learn more on Price ceilings-
https://brainly.com/question/27169723
#SPJ4
