A price floor represents
A) a maximum price that can be legally charged for a product or service.
B) a minimum price that can be legally charged for a good or service.
C) a lottery imposed upon producers by the government.
D) a first come, first served mechanism for controlling prices.
Answer: B
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The members of Federal Reserve district bank boards of directors who are leaders in industry, commerce, and agriculture are known as
A) Class A directors. B) Class B directors. C) Class C directors. D) Class D directors.
Marginal cost always reflects the cost of variable factors.
Answer the following statement true (T) or false (F)
An 36 percent increase in the price of small cars results in a 20 percent increase in the quantity supplied. The supply elasticity in this range equals ________.
A. 7/10 B. 9/5 C. 4/10 D. 5/9
What is a mutual fund? How do mutual funds differ from stocks and bonds?
What will be an ideal response?