When Price Floors Are in Effect, Goods and Services

question 19

Multiple Choice

When price floors are in effect, goods and services:

• A) are still allocated efficiently.
• B) are not necessarily supplied by their lowest-cost producer.
• C) do not necessarily flow to their highest-valued use.
• D) are neither necessarily supplied by their lowest-cost producer nor do they flow to their highest-valued use.

---

Definitions:

Unitary Executive Theory

A concept in constitutional law that suggests the President possesses the power to control the entire executive branch fully.

Executive Power

The authority granted to the executive branch of a government, including enforcing laws, directing national defense and foreign policy, and managing public policy.

Constitution

A written document that outlines the fundamental principles and laws governing a country or organization, establishing the rights and duties of its citizens and the distribution of power.

Expressed Power

Powers explicitly granted to the government or its branches by the constitution.