Which of the Following Statements Is FALSE

question 208

Multiple Choice

Which of the following statements is FALSE?

• A) The rationing function of prices is not allowed to freely operate when the government imposes price controls.
• B) Price controls may take the form of price ceilings or price floors.
• C) Price ceilings below the equilibrium price can cause black markets to develop.
• D) Rent controls are examples of price floors.

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Definitions:

Market-oriented Era

A period in business philosophy where companies prioritize identifying and meeting the needs and desires of customers as the central focus of their operations.

Value-based Marketing

A marketing strategy focused on providing products or services that deliver high value to consumers, emphasizing quality and benefits over cost.

Economics-oriented Era

A period in history where the focus was primarily on economic factors, such as productivity and cost efficiency, in business decisions.

Marketing Mix

A blend of product, price, place (distribution), and promotion strategies used by a company to market its products or services effectively.