When a price control pushes the price of a good or resource below the market equilibrium, then
A) the quantity supplied will be greater than the quantity demanded of the good.
B) a shortage of the good will develop.
C) the scarcity of the good will be eliminated.
D) a surplus of the good will develop.
B) a shortage of the good will develop.
You might also like to view...
If a security held by a bank falls in market value, that loss
A) must be recorded by the bank, no matter what. B) will be recorded by the bank only if the security is of the type they hold to maturity. C) will be recorded by the bank only if the security is of the type they often sell before maturity. D) will be recorded by the bank only if it sells the security.
A market situation in which a large number of firms produce similar but not identical products is
A) a collusive market structure. B) competitive monopoly. C) a homogeneous market. D) monopolistic competition.
A negative externality is an example of market failure. The root of the problem lies in the definition and enforcement of property rights. Explain
What will be an ideal response?
Which of the following statements regarding perfect price discrimination is false?
A. Perfect price discrimination yields the same market price and output result as perfect competition. B. Perfect price discrimination is charging different prices to different buyers. C. Perfect price discrimination is an attempt by monopolists to capture consumer surplus as profit. D. Perfect price discrimination can eliminate the deadweight loss to society of a monopoly.