Consider a market for fish whose market demand and market supply for fish are specified as Qd = 300 ? 2.5P and Qs = ? 20 + 1.5P, respectively. The government decides to impose a price ceiling of $50 per ton. The possible black market price after the ceiling is:

A. $40.
B. $140.
C. $80.
D. $110.


Answer: C

Economics

You might also like to view...

At market equilibrium

A) shortages are greater than surpluses. B) surpluses are greater than shortages. C) quantity demanded equals quantity supplied. D) demand equals supply.

Economics

A __________ good is one that once produced and provided to one person, provides benefits to other persons.

A. consumption B. investment C. private D. public

Economics

Increased government spending is an example of:

A. expansionary fiscal policy. B. contractionary fiscal policy. C. expansionary monetary policy. D. contractionary monetary policy.

Economics

When Mario's income decreases, he buys more pasta. For Mario, pasta is a normal good

a. True b. False Indicate whether the statement is true or false

Economics