When a Binding Price Floor Is Imposed on a Market

question 62

Multiple Choice

When a binding price floor is imposed on a market,

• A)price no longer serves as a rationing device.
• B)the quantity demanded at the price floor exceeds the quantity that would have been demanded without the price floor.
• C)all sellers benefit.
• D)All of the above are correct.

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Definitions:

Organic Product

A compound containing carbon atoms, often derived from living organisms or synthesized in laboratories.

Imines

Organic compounds characterized by the group C=N, formed by the condensation of an aldehyde or ketone with an amine.

Acid-Catalyzed

A chemical reaction that is accelerated in the presence of an acid, which acts as a catalyst to increase the rate of the reaction.

Organic Product

A compound or material derived from living organisms or produced through organic reactions.