tb mc qu. 03 - 204 refer to the diagram. an effective government - set price floor is best illustrated by…
tb mc qu. 03 - 204 refer to the diagram. an effective government - set price floor is best illustrated by multiple choice price b. price c. price a. quantity e.
Answer
Brief Explanations:
An effective price - floor is set above the equilibrium price. In the diagram, the equilibrium price is at B where supply and demand intersect. Price C is above the equilibrium price and represents an effective price - floor. A price - floor is a legal minimum price.
Answer:
B. price C