When a Price Support Is Set Above the Equilibrium Price,producers

question 45

Multiple Choice

When a price support is set above the equilibrium price,producers ________ the quantity supplied and consumers ________ the quantity demanded.

• A) increase; increase
• B) increase; decrease
• C) decrease; increase
• D) decrease; decrease
• E) do not change; do not change

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Definitions:

U.S. Civil Service Commission

This was a government agency responsible for overseeing the civil service of the United States, ensuring that its hiring and employment practices were based on merit. It has since evolved into the Office of Personnel Management (OPM).

Reverse Discrimination

Situations where affirmative action or similar measures result in perceived or actual discrimination against a dominant or majority group.

Preferential Treatment

The act of giving unfair advantage or benefits to certain employees over others without justifiable reasons.

Four-Fifths Rule

The four-fifths rule suggests that disparate impact exists if a selection criterion (e.g., a test score) results in a selection rate for a protected class that is less than four-fifths (80 percent) of that for the majority group.