If a Price Floor Is Not Binding, Then

question 308

Multiple Choice

If a price floor is not binding, then

• A)the equilibrium price is above the price floor.
• B)the equilibrium price is below the price floor.
• C)there will be a surplus in the market.
• D)there will be a shortage in the market.

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Definitions:

Coca-Cola

An American multinational beverage corporation known for its flagship product, a carbonated soft drink named after the company.

Pepsi-Cola

A globally recognized brand of carbonated soft drink manufactured by PepsiCo.

Soft Drink Industry

The soft drink industry encompasses companies and activities involved in producing, marketing, and selling non-alcoholic, typically carbonated beverages like sodas and fruit-flavored drinks.

Global Branding

The process of creating and promoting a brand on a worldwide scale, maintaining a consistent identity and message across countries.