Which of the Following Statements About Price Ceilings Is False

question 91

Multiple Choice

Which of the following statements about price ceilings is false?

• A)Quality often suffers when a price ceiling is imposed.
• B)Rent control is an example of a price ceiling.
• C)Poor people will always be able to buy more of the product than if the price ceiling did not exist.
• D)Price ceilings result in shortages.
• E)Just as a producer is not allowed to sell a good for more than the price ceiling, it is illegal for a consumer to pay more than the price ceiling.

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Definitions:

Seed

A plant's unit of reproduction, capable of developing into another such plant, containing an embryo along with a food supply encased in a protective outer covering.

Compound Fruits

Fruits that develop from multiple flowers (inflorescence) or from a single flower with multiple ovaries, forming a single mass.

Carpels

The female reproductive organs of a flower, comprising the stigma, style, and ovary.

Legumes

A group of plants, including beans, peas, and lentils, that have the ability to fix nitrogen from the air into the soil, improving soil fertility.