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Kasneb Question Paper

Kasneb

Course:Economics

Institution: Kasneb question papers

Exam Year:2006

(a) (i) Distinguish between price floors and price ceilings. (4 marks)

(ii) Explain the consequences of each situation in (a) (i) above. (8 marks)

(b) Illustrate the determinants of equilibrium market price. (4 marks)

(c) Outline the reasons why agricultural prices are more unstable compared to prices of
industrial products. (4 marks)
(Total 20 marks)

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