A city government has implemented a price ceiling of $5 on bottled water during a summer heatwave. As a result, the demand for bottled water has significantly increased, but suppliers are unable to meet this demand at the imposed price. What is the most likely outcome of this price ceiling in the market for bottled water?

When a city government sets a price ceiling of $5 on bottled water, it means that sellers cannot charge more than this price, even if demand is much higher. During a summer heatwave, many people want to buy bottled water to stay hydrated, leading to a sharp increase in demand. However, if suppliers cannot produce or provide enough water at this lower price, a shortage occurs because there are not enough bottles available for everyone who wants them. For example, if a store usually sells 100 bottles at $5 but could sell 300 at a higher price, the shortage means that many customers will leave empty-handed. Ultimately, this price ceiling can lead to frustration among consumers and may create black markets where water is sold at higher prices.