If the Government Imposes a Binding Price Floor in a Market

question 123

True/False

If the government imposes a binding price floor in a market, then the consumer surplus in that market will decrease.

---

Definitions:

Commit Resources

The act of dedicating financial, human, and material assets toward a specific goal or project.

Zero-tolerance

A policy or stance that enforces strict compliance with laws, rules, or guidelines, and applies immediate punishment for infractions.

Sexual Harassment

Unwanted sexual advances, requests for sexual favors, and other verbal or physical conduct of a sexual nature that affect working conditions or create a hostile work environment.

Standing Plans

Pre-established policies, rules, and schedules designed to guide the action of an organization in recurrent situations.