The Price Paid by Buyers in a Market Will Increase

question 93

Multiple Choice

The price paid by buyers in a market will increase if the government

• A)decreases a binding price floor in that market.
• B)increases a binding price ceiling in that market.
• C)decreases a tax on the good sold in that market.
• D)imposes a binding price ceiling in that market.

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Definitions:

Continental Conditions

The environmental, climatic, and geologic conditions that prevail on continental landmasses.

Bases of Power

The sources of power individuals or groups possess in a social or organizational structure, such as coercive, reward, legitimate, expert, and referent power.

Reward Power

The ability to influence others through the promise of rewards or benefits, often used in a leadership or management context.

Procedural Power

The influence or authority derived from an individual's ability to control the process, methods, or order in which decisions are made or tasks are executed.