Assume there is a price ceiling imposed on a good which is below the equilibrium price. Which of the following changes would reduce the size of the shortage?

The above figure shows the supply and demand curves for high-skilled and low-skilled labor. Low-skilled workers earn a wage rate of

A) $15 per hour. B) $12 per hour. C) $9 per hour. D) $6 per hour.

Suppose that the current price of a marketable permit to emit one ton of gunk is $60 . For firm A, the marginal cost of reducing one ton of gunk is $50 . For firm B, the marginal cost of reducing one ton of gunk is $70 . Under a marketable permit system, _____

a. both firms will buy a permit and emit one more ton of gunk b. firm A will buy a permit and emit one more ton of gunk, whereas firm B will reduce its emissions of gunk by one ton c. firm B will buy a permit and emit one more ton of gunk, whereas firm A will reduce its emissions of gunk by one ton d. both firms will reduce their emissions of gunk by one ton e. both firms will go out of business