What will a price ceiling that is non-binding do?

a) It will cause a surplus in the market.
b) It will cause a shortage in the market.
c) It will cause the market to be less efficient.
d) It will have no effect on the market price.

Ans: d) It will have no effect on the market price.

Economics

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As the federal funds rate changes, other interest rates tend to move in the same direction

Indicate whether the statement is true or false

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Joe, a hair dresser, offers students a discount price on haircuts. This form of pricing is an example of

A) a marginal cost pricing rule. B) an average cost pricing rule. C) price discrimination. D) perfect price discrimination.

Economics