If a government imposes a price ceiling on a product that is below the market equilibrium price, what is the most likely outcome in the market for that product?

When a government sets a price ceiling on a product, it means they are limiting how high the price can go, making it lower than what would normally be the market equilibrium price. This usually leads to a situation where the quantity demanded by consumers is greater than the quantity supplied by producers. For example, if the price of rent is capped below the market rate, more people will want to rent apartments, but landlords may not want to rent them out at that lower price, leading to a shortage. As a result, there may not be enough apartments available for everyone who wants one, causing some people to be unable to find housing. Overall, a price ceiling can create problems in the market by disrupting the balance between supply and demand.