Price Ceilings

question 55

Multiple Choice

Price ceilings:

• A) cause quantity to be higher than in the market equilibrium.
• B) always increase consumer surplus.
• C) may decrease consumer surplus if demand is sufficiently elastic.
• D) may decrease consumer surplus if demand is sufficiently inelastic.
• E) always decrease consumer surplus.

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Definitions:

Methylene-dioxy-methamphetamine

Methylene-dioxy-methamphetamine, commonly known as MDMA or 'ecstasy,' is a synthetic drug that alters mood and perception, noted for its stimulant and psychedelic effects.

MDMA

3,4-Methylenedioxymethamphetamine, a psychoactive drug primarily used for recreational purposes, known for its euphoric and empathogenic effects.

Addictive Potential

The likelihood that a substance or activity will lead to addiction, characterized by a compulsive need to engage with the substance or activity.

Discomfort

The feeling of physical or mental unease, such as minor pain or distress, often prompting the desire to alleviate it.