Which of the following accurately describes the effect of a binding price ceiling over time?

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The shortage caused by the price ceiling is more severe in the short term than in the long term.The excess supply resulting from the price ceiling is larger in the short term compared to the long term.The excess supply caused by the price ceiling increases more in the long term than in the short term.The shortage resulting from the price ceiling becomes more pronounced in the long term than in the short term.

Explanation

A binding price ceiling leads to a shortage because the price is set below the equilibrium level. While shortages exist initially, they tend to worsen over time as suppliers reduce quantity supplied or exit the market, making the shortage more significant in the long run compared to the short run.