With a Price Support Program,who Receives a Subsidy

question 143

Multiple Choice

With a price support program,who receives a subsidy?

• A) only consumers
• B) only producers
• C) the government
• D) importers
• E) Both consumers and producers receive a subsidy.

---

Definitions:

Equilibrium Price

The market price at which the quantity of goods supplied is equal to the quantity of goods demanded.