To Keep the Price at the Level Set by a Price

question 144

Multiple Choice

To keep the price at the level set by a price support,the government must

• A) buy some of the good.
• B) sell some of the good.
• C) receive a subsidy from the producers.
• D) insure that imports are readily available.
• E) be careful to always set the price support below the equilibrium price.

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