Use the Following Figure to Answer the Questions That Follow

question 142

Multiple Choice

Use the following figure to answer the questions that follow.

-If the government imposes a price floor on wheat at $5,what would be the amount of disequilibrium?

• A) There will be a surplus of 3 million
• B) There will be a shortage of 3 million.
• C) There will be neither a shortage nor a surplus.
• D) There will be a surplus of 2 million.
• E) There will be a shortage of 2 million.

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Definitions:

Problem Identification

The process of recognizing and defining an issue that impedes the achievement of a goal.

Too Much Information

A situation where an individual is overwhelmed by an excessive amount of data or facts, making it difficult to make decisions.

Information Overload

A condition where an individual or organizational capacity to process information is exceeded, leading to difficulty in understanding or making decisions.

Losses

Refers to the decrease in resources, value, or profits, often as a result of business activities, investments, or unforeseen events.