If a price floor is set above the equilibrium price in a market
A. the quantity supplied will exceed the quantity demanded.
B. the quantity demanded will exceed the quantity supplied.
C. rationing will be unnecessary.
D. shortages will develop.
Answer: A
Economics
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Define price discrimination. What factors must be present in order for a firm to price discriminate? Why do firms price discriminate?
What will be an ideal response?
Economics
The short-run aggregate supply curve shifts because of changes in all of the following EXCEPT
A) the capital stock. B) technological progress. C) money wage rates. D) the price level.
Economics