In Which of the Following Cases Will an Effective Price

question 49

Multiple Choice

In which of the following cases will an effective price floor lead to the largest surplus in a market?

• A)When demand is elastic and supply is inelastic
• B)When demand is inelastic and supply is elastic
• C)When both demand and supply are elastic
• D)When both demand and supply are inelastic
• E)When demand is inelastic and supply is perfectly inelastic

---

Definitions:

First Half of the 1900s

A period referring to the years between 1900 and 1950, notable for significant historical events including two World Wars.

Ethnic Identity

A person's sense of belonging to a particular ethnic group, incorporating aspects such as heritage, culture, language, and religion.

Social Groups

Collections of individuals bound by shared interests, identities, or relationships.

Inequality

The unequal distribution of resources, opportunities, and rights among individuals or groups, leading to disparities in wealth, power, and social status.