Which of the following situations could generate a shortage?

A. Demand for a good increases, resulting in a new higher market clearing price.
B. Demand for a good decreases, resulting in a new lower market clearing price.
C. Demand for a good decreases, but the price is not permitted to fall.
D. Demand for a good increases, but the price is not permitted to rise.


Answer: D

Economics

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What will be an ideal response?

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