Use the Following Table to Answer the Following Questions

question 21

Multiple Choice

Use the following table to answer the following questions.
Market for Corn

-If the price ceiling for corn is $2.50,what amount and type of disequilibrium would be present in the market for corn?

• A) There would be neither a shortage nor a surplus.
• B) There would be a surplus of 61,000.
• C) There would be a shortage of 61,000.
• D) There would be a shortage of 186,000.
• E) There would be a shortage of 125,000.

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Definitions:

Net Unilateral Transfers

Financial flows from one country to another that are not reciprocated, typically covering aid, grants, and remittances.

Financial Account Surplus

A situation where the incoming financial resources (like foreign investments) into a country exceed the resources flowing out of the country.

British Pound

The official currency of the United Kingdom, also known as Sterling, used across the UK and its territories.

Appreciates

An increase in the value of an asset or currency over time, often due to market demand or economic conditions.