A specific tax in a monopoly market equal to the marginal harm of pollution

Price ceilings which lead to shortages will impose costs on society because they

A. will lead to long waiting lines B. may result in black market prices, which are higher than the market-determined price would be. C. lead to a smaller quantity offered on the market. D. do all of the above.

A. monetary policy is ineffective. B. the government is unable to find willing lenders so it can continue borrowing. C. it can only be solved with a fiscal stimulus of lower taxes and more government spending. D. other countries will be unwilling

to buy goods and services from the nation. A. differs from the marketplace in that voters and congressional representatives often face limited and bundled choices. B. is less prone to failure than is the marketplace. C. is a much fairer way to allocate society's scarce resources than is the impersonal marketplace, which is dominated by high-income consumers. D. involves logrolling, which is always inefficient.