Say that the equilibrium price of natural gas would be $5 per thousand cubic feet, but there is a price ceiling imposed at $3 per thousand cubic feet. That price ceiling is then lowered to $2 per thousand cubic feet. As a result,
a. the shortage of natural gas will get worse
b. the shortage of natural gas will get less severe.
c. the surplus of natural gas will get worse.
d. the surplus of natural gas will get less severe.
a
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The farmer pays 20 cents for the seed that is sold to the miller for 35 cents;
A) $1 B) $2 C) $3 D) 35
All else held constant, the international value of foreign currencies will increase against the U.S. dollar if ________.
A. U.S. citizens reduce spending on imports B. there are withdrawals of funds by foreigners from U.S. money markets C. there is an increase in the number of foreign tourists in the United States D. the U.S. Federal Reserve raises real interest rates
If a firm offers quantity discounts or special promotional allowances only to favored distributors and the effect is to substantially lessen competition, then it is in violation of the:
a. Clayton Act. b. Robinson-Patman Act. c. Sherman Antitrust Act. d. Federal Trade Commission Act. e. Celler-Kefauver Act.
The price indexes that are alternatives to the CPI are ________.
A) unbiased CPI and the unbiased GDP deflator B) the GDP deflator and the chained price index for consumption C) the chained price index for consumption and the CPI deflator D) the core GDP deflator and the CPI deflator E) the GDP deflator and the CPI deflator