If the Government Implements a Binding Price Ceiling on Insulin,this

question 162

Multiple Choice

If the government implements a binding price ceiling on insulin,this will

• A)increase the price consumers will pay for insulin.
• B)decrease the quantity of insulin the manufacturers will be willing to supply.
• C)have to be set above the market equilibrium price to be effective.
• D)encourage manufacturers to produce and sell more insulin to increase their profits.

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Definitions:

Second New Deal

A series of social welfare programs and reforms introduced in 1935-1936 by President Franklin D. Roosevelt in response to weaknesses left unaddressed by the first New Deal.

Protective Tariff

A tax imposed on imported goods to protect domestic industries from foreign competition.

Cordell Hull

An American politician who served as the longest-serving U.S. Secretary of State, playing a key role in establishing the United Nations and laying the groundwork for international trade agreements.