Which One of the Following Statements Is True

question 247

Multiple Choice

Which one of the following statements is true?

• A) An effective price ceiling results in a surplus of the good.
• B) An effective price floor results in a shortage of the good.
• C) When the market clearing price of a good is the equilibrium, then everyone can afford it.
• D) The market clearing price of a good reflects its relative scarcity.

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Definitions:

Nouns

Words that name people, places, things, or ideas and serve as the subject of a sentence in grammar.

Phonological Loop

A component of the working memory model that deals with auditory information and preserves the order of this information.

Visuospatial Sketchpad

A component of working memory responsible for the manipulation and temporary storage of visual and spatial information.

Working Memory

An intellectual system with restricted capability tasked with momentarily maintaining information for processing purposes.