If the Government Removes a Binding Price Floor from a Market

question 167

Multiple Choice

If the government removes a binding price floor from a market, then the price paid by buyers will

• A)increase, and the quantity sold in the market will increase.
• B)increase, and the quantity sold in the market will decrease.
• C)decrease, and the quantity sold in the market will increase.
• D)decrease, and the quantity sold in the market will decrease.

---

Definitions:

Verbal Abilities

The capacity to use and understand language and words effectively for communication.

Empirical Research

The study conducted through observation and experiment, focusing on the collection and analysis of data to test hypotheses.

African Ancestry

refers to the heritage, origin, and lineage of individuals who are descendants of the native populations of Africa.

Environmental Explanation

A type of explanation for behavior or phenomena that emphasizes the role of the surrounding environment.