If the Government Removes a Binding Price Ceiling from a Market

question 212

Multiple Choice

If the government removes a binding price ceiling from a market, then the price received by sellers will

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

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Definitions:

Paired

Describes objects or concepts that are linked or associated with each other in some relationship or function.

Conditioned Stimulus

A formerly neutral signal that, when linked with the unconditioned stimulus, ultimately elicits a conditioned reaction.

Unconditioned Response

An automatic, natural reaction to a stimulus that occurs without prior learning or conditioning.

Fireworks

Pyrotechnic devices that produce visual and auditory effects for entertainment purposes.