What Condition Is Necessary for a Price Floor to Have

question 16

Essay

What condition is necessary for a price floor to have an impact on a market? Describe two effects that a price floor can have on a market.

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Definitions:

Dwelling House

A residential structure where people live, generally referred to as a home.

Felony

A serious crime, typically involving violence, and usually punishable by imprisonment for more than one year or by death.

Burglary

The illegal entry into a building with the intent to commit a crime, especially theft, regardless of the time of day the entry is made.

Sarbanes-Oxley Act

A U.S. federal law enacted in 2002 aimed at protecting investors by improving the accuracy and reliability of corporate disclosures.