An Effective Price Ceiling Usually Generates

question 309

Multiple Choice

An effective price ceiling usually generates

• A) fire sales as firms try to unload their excess inventories.
• B) higher nominal prices.
• C) the use of nonprice rationing devices.
• D) happy sellers and dissatisfied buyers.

---

Definitions:

Mixed Goods-Services

Mixed goods-services refer to transactions that involve a combination of tangible products and intangible services in a single offering to consumers.

Federal Government

is the national government of a federal state, which holds the authority over the entire nation, distinct from state or local governments.

Good Faith

Acting with honesty and sincerity without any intention to deceive or defraud.

UCC

The Uniform Commercial Code, a set of laws that provide legal standards and regulations for commercial transactions and dealings across the United States.