Governments Sometime Create an Excess Demand for a Product by Setting

question 23

True/False

Governments sometime create an excess demand for a product by setting a maximum price that is less than the equilibrium price, resulting in a permanent excess demand for the product. This is known as a price floor.

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Definitions:

Ineffective Teacher

An educator who fails to facilitate learning or improve the students' academic achievement.

Roommate

A person with whom one shares a living space, such as a room or apartment.

Self-Serving Bias

The common human tendency to attribute successes to personal attributes and failures to external circumstances.

Actor-Observer Bias

The inclination to ascribe personal actions to outside factors and other individuals' actions to their inherent traits.