suppose the government yielded to lobbying by a group of market participants and instituted a binding price…

suppose the government yielded to lobbying by a group of market participants and instituted a binding price control at $10. the graph above illustrates the market and the effect of the price control. referring to the graph above answer the following questions: 1. the group of market participants who most likely are behind the lobbying are select 2. since select can only be the sellers both buyers and sellers the buyers 3. as

suppose the government yielded to lobbying by a group of market participants and instituted a binding price control at $10. the graph above illustrates the market and the effect of the price control. referring to the graph above answer the following questions: 1. the group of market participants who most likely are behind the lobbying are select 2. since select can only be the sellers both buyers and sellers the buyers 3. as

Answer

Brief Explanations:

  1. At the equilibrium price of $20, quantity demanded equals quantity supplied. A binding price - control at $10 is below the equilibrium price. Buyers would benefit from a lower price. So, the group most likely behind the lobbying are the buyers as they want to pay a lower price for the good.

Answer:

  1. the buyers