Why does a price ceiling regularly result in a deadweight loss?
A price ceiling will tend to result into deadweight loss since at any price below the market equilibrium price, quantity supplied will be below the market equilibrium quantity supplied, resulting a loss of surplus to producers. Consumers will purchase less than the market equilibrium quantity, resulting a loss of surplus to consumers. Consumers will also purchase less than the quantity they demand at the price set through the ceiling. The surplus lost through consumers and producers is not captured by either group, and surplus not captured by market participants is deadweight loss.