(Figure: Price Ceiling in a Generic Market) Refer to the Figure

question 168

Multiple Choice

(Figure: Price Ceiling in a Generic Market) Refer to the figure. If the government imposes a price ceiling at the price of $4.00, the result would be a:

• A) surplus of 40 units.
• B) shortage of 40 units
• C) surplus of 20 units.
• D) shortage of 20 units.