Which of the Following Is a Major Disadvantage of Setting

question 47

Multiple Choice

Which of the following is a major disadvantage of setting the price of a good below equilibrium and using waiting in line rather than price to ration the good?

• A) Compared to price rationing, waiting in line is unfair since it is easier for those with higher incomes to wait in line.
• B) Waiting in line imposes a cost on the consumer; paying higher prices does not.
• C) Both waiting in line and higher prices are costly to consumers, but unlike the payment of a higher price, waiting in line does not provide suppliers with an incentive to expand future output.
• D) Waiting in line benefits consumers at the expense of producers.

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Definitions:

Hypnotically Suggestible

Referring to the extent to which an individual is likely to respond to suggestions made during hypnosis.

Imagination

The faculty or action of forming new ideas, or images or concepts of external objects not presently seen or experienced.

Dissociation Theory

A psychological theory suggesting that individuals can detach from their immediate surroundings or from their physical and emotional experiences, often as a defense mechanism.

Simultaneously

Simultaneously refers to events or actions occurring at the same time, happening concurrently.