Which of These Statements About Price Ceilings Is Correct

question 57

Multiple Choice

Which of these statements about price ceilings is correct?

• A) Whether a price ceiling is placed below or above the equilibrium price, it will always cause deadweight loss.
• B) A price ceiling will only cause deadweight loss if it is placed above the equilibrium price.
• C) A price ceiling will only cause deadweight loss if it is placed below the equilibrium price.
• D) Whether a price ceiling is placed below or above the equilibrium price, it will always cause a shortage of the good.

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Definitions:

Trait Approach

A perspective in leadership theory that focuses on identifying and analyzing specific qualities and characteristics that differentiate leaders from non-leaders.

Leadership Traits

Specific attributes, qualities, and characteristics of individuals that make them effective leaders.

Sociability

The trait or quality of being sociable, describing an individual's tendency to engage and interact positively with others in social settings.

Self-Confidence

The belief in one's abilities and judgment, often seen as a crucial trait for leaders to inspire trust and respect from followers.