In a market affected by a price ceiling, how is deadweight loss represented on a graph, and what implications does this have for market efficiency?

In a market with a price ceiling, which is a maximum price set by the government, deadweight loss occurs because the quantity of goods sold is less than what would happen in a free market. On a graph, this is represented by a triangle formed between the supply curve and the demand curve, showing the lost transactions that do not happen due to the price ceiling. For example, if the price is set too low, suppliers may not want to produce enough goods, leading to fewer sales than the market would typically support. This deadweight loss indicates that the market is not operating efficiently because some buyers who want to purchase the product at the lower price cannot find it, and some sellers who would supply it at a higher price are unwilling to do so. Overall, this situation results in a loss of economic welfare because fewer trades are being made than would occur without the price ceiling.