Which One of the Following Statements Is TRUE

question 290

Multiple Choice

Which one of the following statements is TRUE?

• A) An effective price ceiling results in a surplus of the good.
• B) An effective price floor results in a shortage of the good.
• C) When the market clearing price of a good is the equilibrium, then everyone can afford it.
• D) The market clearing price of a good reflects its relative scarcity.

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Definitions:

Theory of Mind

The ability to attribute mental states—beliefs, intents, desires, emotions, knowledge—to oneself and others, and understand that others have beliefs and perspectives different from one's own.

Mental States

Conditions of mind or consciousness, including thoughts, feelings, perceptions, moods, and emotional states.

Different Sense

The ability to interpret and distinguish diverse types of sensory information, such as visual, auditory, and tactile stimuli.

Impulsive

Impulsive pertains to actions or behaviors initiated without forethought or consideration of the consequences.