Which of the Below Is True

question 226

Multiple Choice

Which of the below is true?

• A)​A price ceiling reduces the quantity exchanged on the market, but a price floor increases the quantity exchanged on the market.
• B)​A price ceiling increases the quantity exchanged on the market, but a price floor decreases the quantity exchanged on the market.
• C)​Both price floors and price ceilings reduce the quantity exchanged in the market.
• D)​Both price floors and price ceilings increase the quantity exchanged in the market.

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Definitions:

Test Statistic

A standardized value that is calculated from sample data during a hypothesis test. It is used to determine whether to reject the null hypothesis.

Null Hypotheses

A statement that assumes there is no significant difference or effect in a population, and any observed difference is due to sampling or experimental error.

p-value

A measure used in statistical hypothesis testing to determine the significance of the observed data under a specific hypothesis, often testing if an effect exists.

Standard Deviation

A technique for quantifying the degree of variation or gap among a batch of numbers.