The Price of a Good or a Service Can Be

question 110

Multiple Choice

The price of a good or a service can be determined by free interaction of demand and supply or by a government price regulation. One important difference between these two price- determining methods is

• A) that a regulated price above the equilibrium price will always result in shortages.
• B) there are no shortages or surpluses at the free- market equilibrium price.
• C) one is capitalist and the other is communist.
• D) regulated prices are fairer since more people can then afford the goods or services.
• E) the government is in the best position to know the needs of the people.

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Definitions:

Reinforcers

Stimuli that increase the probability of a behavior being repeated.

Misuses

The incorrect, improper, or unethical use of something.

Rewards

Positive reinforcements or incentives given to encourage a particular behavior or achievement.

Behavior

The actions or reactions of an organism, often in response to external stimuli, observable through various means.