Which of the Following Statements Is True of Price Ceilings

question 95

Multiple Choice

Which of the following statements is true of price ceilings?

• A)The true cost of the good to consumers is usually greater than the money cost.
• B)All consumers benefit from the lower price.
• C)Nonprice rationing associated with price controls is more efficient than rationing by price.
• D)Shortages associated with price ceilings generally do not last any longer than shortages associated with free markets.

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Definitions:

Categorical Imperative

A central concept in the moral philosophy of Immanuel Kant, stating that one should act only according to that maxim by which you can also will that it would become a universal law.

Moral Judgment

The process of determining the ethicality or morality of actions, often based on a particular set of criteria or moral principles.

Hypothetical Imperatives

Commands that apply conditionally, suggesting actions to achieve certain ends, unlike categorical imperatives which are unconditional.

Universal Moral Rules

Fundamental ethical principles that are widely accepted and applied across different cultures and societies.