A price ceiling is typically imposed on a market because of ___________ and it creates _______
a. a chronic excess demand; an unacceptable price increase
b. an unacceptable price increase; chronic excess demand
c. an unacceptable price decrease; chronic excess demand
d. an unacceptable price decrease; chronic excess supply
e. an unacceptable price increase; chronic excess supply
B
You might also like to view...
What are the major factors that determine investment, and what impact does each have on aggregate demand?
Which is a barrier to entry in an industry?
A. Allocative efficiency B. Economic profits C. Profit maximization D. Economies of scale
In 2011, which country had the highest level of GDP per hour of work?
A. Spain B. The United Kingdom C. France D. Japan
Which of the following is an example of an external benefit?
A. More people start to ride the bus because they become more public?spirited and, as a result, air pollution is reduced. B. A firm has just gotten permission to open a landfill on property that is adjacent to your home. C. The federal government spends a million dollars on improving national parks. D. Firms are able to reduce their costs of production by using a more efficient technology.