Price Controls applied by the Qatar Government Name: Date: Price Controls applied by the Qatar Government Mining and extracting natural gas and petroleum, makes up for approximately sixty percent of Qatar's Gross Domestic Product, ninety percent of entire products export income and approximately seventy percent of government incomes…
Download file to see previous pages...
Agriculture is also a vital sector in the Qatar economy because of the objective of Qatar, which is food security. Qatar is a main importer of agricultural goods. The objective of food security is possible mostly through low customs tariffs. The Qatar government retains price controls on natural gas and petroleum. Qatar also sustains price controls on other manufactured products, like cement. Price Floors regards the minimum prices put by the government for particular goods and services, which it considers producers to be trading in an unjust market with very low prices, and hence such producers, need some assistance. Price floors become a problem when the government puts them higher than the equilibrium price. Once the prices are higher than the market price, there is likelihood that there will be a surplus or excess supply. In case this takes place, producers who cannot predict difficulty ahead will make the bigger quantity where the new price crosses their supply curve (Wessels, 2006). Clients will not purchase that many products at the higher price and so those products will end up unsold. There could be a serious economic depression if producers notice that there is insufficient demand, and in reaction reduces production. There exists deadweight loss linked with this decrease in quantity, mirrored in the loss of producer and customer surplus at lesser points of production. This policy can be of benefit to the producers, although only if they have elastic supply curve and thus they do not have any net loss. This type of government does not favor the consumers. They are the losers, as they pay high prices and the certain prices drives some out of the market, as they cannot afford the products. There are many policies of the government for putting up a price floor and handling its consequences. They may put an easy price floor, put production quotas or employ a price support. In Price supports, the government puts a minimum price, and then purchases all the surplus or excess supply (Carbaugh, 2011). This is normally more incompetent and expensive for the government and community as a whole than for the government to subsidize the firms concerned. Either the Production quotas increase the price by limiting production using authorized quotas or giving firms incentives to decrease their production. In Qatar, for instance, the government applies these techniques extensively with oil and agriculture. The government compensates the farmers to maintain some parts of their lands uncultivated, hence increasing prices. This policy would be more competent and less expensive to community if the government subsidized the producers straightly rather than putting a production limit. Price Surplus Supply PF PE Demand QD QE Qs Quantity QD-Quantity demanded QE-Equilibrium quantity QS-Quantity supplied PE-Equilibrium price PF- The floor price set Price ceilings Price Ceilings regards maximum prices put by the government for certain products and services, which they consider are being traded at a very high price, and hence clients require some assistance buying them. Price ceilings are an issue once the government set it under the market equilibrium price. Once the government sets the ceiling under the market equilibrium price, there will be supply shortage or surplus. The Producers will not generate as much at the lesser price, while clients will need more since the products are very cheap.
...Download file to see next pagesRead More
Cite this document
(“Choose an essay question about qatar Assignment”, n.d.)
Retrieved from https://studentshare.org/macro-microeconomics/1474585-choose-an-essay-question-about-qatar
(Choose an Essay Question about Qatar Assignment)
“Choose an Essay Question about Qatar Assignment”, n.d. https://studentshare.org/macro-microeconomics/1474585-choose-an-essay-question-about-qatar.
Advanced Life Support (ALS) details a set of life saving protocols and skills applied to further support the circulation and clear airway and adequate ventilation (breathing). The core algorithm of ALS, mainly applied when cardiac arrest has been established, is based on the examination of the heart’s electrical activity.
The credibility of the story teller must be established in order for the questions to be answered be believable. A document was created from a set of videos; facts were derived from a set of videos. "A documentary impulse" was made to sew together a series of events with the police interaction in order to show the audiences a clear set of events or facts.
Ecstatic truth is giving the viewer a high expectation of the central character reaching his highest goal. There is an element of existentialism as we become part of the central character as we become so involved with the film. Ecstatic truth is beyond the apparent fact.
The jet fuel is one of the largest and volatile expenses that the airline incurs. For instance, in 2013 the fuel rose to 26% per gallon from the end of July 2013. Every increase in the price per gallon costs the airline $180 m per annum. Therefore, after two years of recording profit, the United States airline industry lost $4.3 B in the first quarter from the currently available financial statistics (Lehman, 67).
The airline is continuously undergoing growth and expansion into newer destinations. With the marketing objective to enhance its brand image and brand preference in the underserved markets, an analysis of the macro- and micro-environment has been conducted.
The above graph explains a typical business cycle, where the boom, trough or downswings occur due to differences in (AD) and aggregate supply (AS). When the AD>AS, then economy lies in the expansion or boom stage of business cycle. On the hand,
McWhorter discusses some of these factors in Chapter 1. Dropping of sounds is one of the factors discussed by McWhorter. This happens when word sounds are “eroded” over time. Secondly, shifting grammar rules change over time and various phrases are mutated from
A lot of research on rap has focused on chronicling its emergence and rise as a social movement. Listeners of rap have conspicuously been left out in prior research on the area. In the beginning, rap listeners were largely Latino and Black but
3. Hoover betrayed Anna Sage because Hoover forged documents to his satisfaction. As a police informant, Ann Sage was able to know the in roads that were created by top FBI agents including Edgar Hoover. She was eliminated to