Which one of the following statements best describes a price ceiling?
a. A price ceiling causes demand to change.
b. A price ceiling causes supply to change.
c. A price ceiling keeps a price from rising above a certain level.
d. A price ceiling keeps a price from falling below a certain level.
c. A price ceiling keeps a price from rising above a certain level.
You might also like to view...
Chris had a before-tax income of $20,000 and paid taxes of $3,000 . Pat had a before-tax income of $10,000 and paid taxes of $1,000 . Based on this information, which of the following is correct?
a. the tax system is regressive b. the tax system is proportional c. the tax system is progressive d. the tax system is based on the benefits received e. there is insufficient information to answer the question
Diminishing marginal productivity implies decreasing total product
a. True b. False Indicate whether the statement is true or false
Assuming the economy represented in the graph shown is currently at point B, if the government does nothing, then eventually:
A. SRAS will shift left, and the economy will experience stagflation. B. SRAS will shift to the right, and the economy will have Y3 output with lower prices. C. LRAS will shift left, until lower equilibrium output is reached with lower prices. D. the entire economy will collapse.
All coins in circulation within the United States are:
A. checkable deposits. B. near monies. C. time deposits. D. token money.