If the government implements a binding price ceiling on insulin, this will have all of the following effects on the market for insulin except
A) a decrease in economic surplus.
B) a decrease in producer surplus.
C) an increase in deadweight loss.
D) a more efficient equilibrium.
Answer: D
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What will be an ideal response?
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A) fall; rise B) rise; fall C) fall; fall D) None of the above.
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