Price Controls Are Usually Enacted in Response to

question 23

Multiple Choice

Price controls are usually enacted in response to

• A)popular opinion.
• B)governmental studies.
• C)scholarly research on the effects of high prices.
• D)laws enacted in other countries.
• E)All of the above are correct.

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Definitions:

Federal Government

The national government of a federal country, which shares sovereignty with constituent states or provinces, responsible for governing national matters.

Social Security Tax

A tax levied on both employers and employees to fund the Social Security program, which provides benefits for retirees, the disabled, and children of deceased workers.

Excise Tax

A tax levied on specific goods or services, such as tobacco, gasoline, and alcohol, typically aimed at discouraging use or raising government revenue.

Indirect Tax

Tax on a thing rather than on a particular person; for example, sales tax.