When there is a binding price floor
A) there is no equilibrium.
B) the quantity demanded does not equal the quantity supplied.
C) all potential producers are happy because they can sell the good at a higher price.
D) the government is helping consumers at the expense of producers.
B
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You decide to spend time studying for a philosophy exam, even though you have offers to go to see a movie, go out to dinner, or go to a poetry reading
This is a difficult choice for you because you really want to go to the poetry reading and would choose that over seeing the movie or going out to dinner. Your opportunity cost of spending time studying for your philosophy exam is A) going to the movie. B) going out to dinner. C) going to the poetry reading. D) all of the above, since you have offers to do all three
All of the following are examples of the volunteer's dilemma except which one?
A) You are trying to decide whether to spend time volunteering at a local homeless shelter or at a neighborhood elementary school. B) You, along with a dozen other drivers, witness a car accident. You cannot decide whether to dial 911 or let one of the other witnesses dial 911 instead. C) Five high school students are contemplating sneaking out of school after lunch. One student has to create a diversion that will get him sent to detention in order for the others to escape unseen. D) A house is on fire and there may be someone still inside. Who will go inside the burning house to attempt to rescue the potential victim?
Total expenditure by a buyer is equal to the
A. slope at any point along the demand curve. B. price times quantity demanded at any point along the demand curve. C. elasticity times price at any point along the demand curve. D. elasticity times quantity demanded at any point along the demand curve.
If a firm sets marginal revenue equal to marginal cost, it will make an economic profit
Indicate whether the statement is true or false