A price floor represents
A) a maximum price that can be legally charged for a product or service.
B) a minimum price that can be legally charged for a good or service.
C) a lottery imposed upon producers by the government.
D) a first come, first served mechanism for controlling prices.
Answer: B
Economics
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How does total taxes as a percentage of GDP in the United States compare to those of Western European countries, such as the United Kingdom, Germany, and Sweden?
a. U.S. taxation is smaller. b. U.S. taxation is about the same. c. U.S. taxation is slightly larger. d. U.S. taxation is substantially larger.
Economics
Under the floating exchange-rate system, a fall in the market price of a currency is called
A. revaluation. B. devaluation. C. appreciation. D. depreciation.
Economics