In Which of the Following Cases Will an Effective Price

question 49

Multiple Choice

In which of the following cases will an effective price floor lead to the largest surplus in a market?

• A)When demand is elastic and supply is inelastic
• B)When demand is inelastic and supply is elastic
• C)When both demand and supply are elastic
• D)When both demand and supply are inelastic
• E)When demand is inelastic and supply is perfectly inelastic

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Definitions:

Noncausal Attribution

The assignment of a cause to an event or behavior without evidence of a direct cause-and-effect relationship.

External Attribution

The process of attributing the cause of one's own or others' behavior to external factors or situations.

Stable External

A term used to describe factors outside an individual that are consistent and unchanging, influencing behavior or circumstances.

Unstable External

This refers to external attributions for behavior that are variable or subject to change, such as luck or temporary circumstances.