Price ceilings and price floors that are binding
a. are desirable because they make markets more efficient and more fair.
b. cause surpluses and shortages to persist because price cannot adjust to the market equilibrium price.
c. can have the effect of restoring a market to equilibrium.
d. are imposed because they can make the poor in the economy better off without causing adverse effects.
b
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Complete Milton Friedman's famous statement, "Inflation is always and everywhere a ________ phenomenon."
A) recessionary B) discretionary C) repressionary D) monetary
A rise in the price level will: a. cause an upward movement along the aggregate demand curve. b. cause a downward movement along the aggregate demand curve. c. cause a leftward shift of the aggregate demand curve
d. cause a rightward shift of the aggregate demand curve. e. have no impact on the aggregate demand curve.