Which of the Following Statements Is True If the Government

question 57

Multiple Choice

Which of the following statements is true if the government places a price ceiling on petrol at R15.00 per litre and the equilibrium price is R10.00 per litre?

• A) A significant increase in the demand for petrol could cause the price ceiling to become a binding constraint.
• B) A significant increase in the supply of petrol could cause the price ceiling to become a binding constraint.
• C) There will be a shortage of petrol.
• D) There will be a surplus of petrol.

---

Definitions:

Psychological Stress

Psychological stress refers to the emotional and physical strain caused by our response to pressure from the outside world.

Physiological Stress

The body's response to a demand or challenge, which can affect physical health, such as increased heart rate and blood pressure.

Metabolic Rate

The rate at which the body uses energy while at rest to maintain vital functions such as breathing and keeping warm.

Meningitis

An inflammation of the protective membranes covering the brain and spinal cord, potentially leading to serious health issues.