If a binding price floor were placed in the market in the graph shown:

A. the demand curve would have to shift.
B. quantity demanded would exceed quantity supplied.
C. quantity supplied would exceed quantity demanded.
D. the supply curve would have to shift.


Answer: C

Economics

You might also like to view...

The profit-maximizing/loss-minimizing level of output


A. 100 units.
B. 140 units.
C. 160 units.
D. 200 units.

Economics

Suppose Always There Wireless serves 100 high-demand wireless consumers, who each have a monthly demand curve for wireless minutes of QdH = 200 - 100P, and 300 low-demand consumers, who each have a monthly demand curve for wireless minutes of QdL = 100 - 100P, where P is the per-minute price in dollars. The marginal cost is $0.25 per minute. Suppose Always There Wireless charges $0.25 per minute. What are Always There Wireless's total profits?

A. $3,750 B. $11,250 C. $61,250 D. $400

Economics

A believer in the need for a CGRR of the money supply policy must be ________ about the ability of the private economy to self-stabilize and ________ about the accuracy of discretionary stabilization policy

A) optimistic, optimistic B) optimistic, pessimistic C) pessimistic, optimistic D) pessimistic, pessimistic

Economics

In a small open economy, goods market equilibrium occurs when desired saving minus desired investment equals net exports. Explain

What will be an ideal response?

Economics