Distinguish the terms price ceiling and price floor

A price ceiling is a government-imposed limit on how high a price can be charged on a product. A price floor is a government imposed limit on how low a price can be charged for a product.

Economics

You might also like to view...

Suppose interest rates in foreign countries increase relative to the U.S. interest rate. As a result, there is ________ the demand curve for dollars

A) a downward movement along B) a leftward shift of C) a rightward shift of D) an upward movement along E) neither a movement along nor a shift of

Economics

A reduction in the required reserve ratio has the instant effect of:

a. Increasing bank shareholders' equity. b. Increasing total bank reserves c. Increasing excess reserves. d. None of the above is correct. e. Increasing the monetary base.

Economics