A price ceiling set above the equilibrium price will cause which of the following?

A) an increase in supply
B) a surplus
C) a shortage
D) no effect on either the price or quantity


Answer: D

Economics

You might also like to view...

High inflation that persists beyond the ending of expansionary policies is probably ________

A) demand-pull inflation B) Humphrey-Hawkins inflation C) cost-push inflation D) a result of unemployment remaining below the natural rate E) none of the above

Economics

A _____ is an integrated set of parts that function together for some end purpose or result

a. Controlling factor b. System c. Crisis d. Kibbutz

Economics

If the interest rate is 8 percent, $54 next year is worth __________ today

a. $62 b. $50.68 c. $50 d. $62 e. $4.32

Economics

In a sequential game, the first mover into a new market:

A. always earns a greater payoff than the second mover. B. may discourage the second mover from entering that market. C. only enters when there is a dominant strategy. D. guarantees that a Nash equilibrium will result.

Economics