The Table Given Below Reports the Quantity Demanded and Supplied

question 74

Multiple Choice

The table given below reports the quantity demanded and supplied of a commodity at different prices in a market.Table 3.5

-Refer to Table 3.5. If government imposes a price ceiling of $2:

• A)the price will be above equilibrium.
• B)the price will fall to $1 because producers will be forced to incur losses.
• C)demand will increase.
• D)a surplus will result equal to 20 units.
• E)a shortage will result equal to 20 units.

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Definitions:

Heuristic

A rule of thumb, or shortcut method, used in thinking, reasoning, and/or decision making.

Holistic

An approach or process that emphasizes the importance of the whole and the interdependence of its parts, typically used in contexts such as health, learning, and problem-solving.

Agonistic

Relating to a physiological response to a stimulus or to the competition between organisms for resources.

Syntax

The set of rules, principles, and processes that govern the structure of sentences in a given language, especially the order of words.