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Which of the Following Statements Is (Are) TRUE? I

question 13

Multiple Choice

Which of the following statements is (are) TRUE? I. Quantity controls drive a wedge between the demand price and the supply price of the good.
II) The difference between the demand price and the supply price at the quota limit is consumer surplus.
III) Quantity controls have no undesirable side effects.


Definitions:

Renaissance

A cultural movement that spanned the period roughly from the 14th to the 17th century, beginning in Italy in the Late Middle Ages and later spreading to the rest of Europe.

Scientific Revolution

A period of dramatic change in thought and belief, closely associated with the 16th and 17th centuries, which led to the emergence of modern science through the rejection of medieval scientific philosophies.

Multiculturalism

The doctrine that several different cultures (rather than one national culture) can coexist peacefully and equitably in a single country.

Cultural Relativism

Is the belief that all cultures have equal value.

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