Refer to the information provided in Figure 13.10 below to answer the question(s) that follow.  Figure 13.10 Refer to Figure 13.10. If the government imposed a ________ on this firm, the firm would sell to 2,500 subscribers but would require a subsidy of $1,250 to stay in business.

A. price floor of $12
B. price ceiling of $12.50
C. price floor of $12.50
D. price ceiling of $12


Answer: D

Economics

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