A price floor Select one: a. always results in a surplus. O b. always results in a shortage. results in a surplus if the floor price is higher than the equilibrium price. O d. results in a shortage if the floor price is higher than the equilibrium price.

A price floor Select one: a. always results in a surplus. O b. always results in a shortage. results in a surplus if the floor price is higher than the equilibrium price. O d. results in a shortage if the floor price is higher than the equilibrium price.

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter3: Demand And Supply

Section: Chapter Questions

Problem 18RQ: If the price is above line equilibrium level, would you predict a surplus or a shortage? If line...

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Question

A price floor
Select one:
O a. always results in a surplus.
O b. always results in a shortage.
results in a surplus if the floor price is higher than the equilibrium price.
O d. results in a shortage if the floor price is higher than the equilibrium price.

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