Price Ceilings

question 92

Multiple Choice

Price ceilings:

• A) increase the gains from trade because lower prices encourage consumers to buy more.
• B) reduce the size of the market, shrinking both consumer and producer surplus.
• C) help reduce the deadweight losses owing to taxation.
• D) increase market output to the point where consumer surplus equals producer surplus.

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Definitions:

Memory

A component or system in computing for storing data and instructions temporarily or permanently, necessary for executing programs.

Master Control

Master control is the main interface or mechanism through which a complex system, such as a machine or network of devices, is operated and managed.

Start Pushbutton

A control device used to initiate the operation of machinery or equipment.

Three-Wire

Describes an electrical system or circuit that uses three conductors for operation, typically including a live wire, neutral wire, and a ground wire.