A government decides to set a price floor on wheat, establishing it at $8 per bushel, while the equilibrium price is $6. What is the most likely economic consequence of this price floor in the wheat market?

When the government sets a price floor on wheat at $8 per bushel, it means that sellers cannot sell wheat for less than this price. Since the equilibrium price, where supply meets demand, is $6, this price floor creates a situation where the price is higher than what many buyers are willing to pay. As a result, farmers may produce more wheat because they can sell it for a higher price, but consumers will buy less wheat because it is now more expensive. This leads to a surplus of wheat in the market, where there is more wheat available than people want to buy. For example, if farmers produce 1,000 bushels but consumers are only willing to buy 800 bushels at $8, there will be 200 bushels left unsold.