When a Binding Price Ceiling Is Imposed on a Market

question 193

Multiple Choice

When a binding price ceiling is imposed on a market,

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

---

Definitions:

Indebtedness

The state of owing money or being under financial obligation to another entity, which can apply to individuals, corporations, or countries.

Global Prices

The standard cost of goods and services determined by the global market, affecting economies worldwide.

Populist Movement

was a political and social movement in the late 19th century United States that sought to represent the interests of farmers and laborers against the economic elite.