Which of the following statements about wage and price controls is incorrect?
A) they are difficult to enforce in certain sectors of the economy
B) they are more effective as a long-term solution to inflation
C) they are difficult to apply to imported products
D) they result in shortages of goods and services

Question

Quizplus · Accepted Answer

Wage and price controls are generally not considered effective as a long-term solution to inflation because they can lead to market distortions, shortages, and reduced incentives for production.

Which of the Following Statements About Wage and Price Controls