When a binding price floor is imposed on a market, _____.
A)price serves more effectively as a rationing device
B)the quantity demanded at the price floor exceeds the quantity that would have been demanded without the price floor
C)every producer and every consumer gain from it
D)the quantity demanded at the price floor exceeds the quantity supplied
E)the unemployment level in the economy increases

Question

Quizplus · Accepted Answer

The Answer of When a binding price floor is imposed on a market, _____.
A)price serves more effectively as a rationing device
B)the quantity demanded at the price floor exceeds the quantity that would have been demanded without the price floor
C)every producer and every consumer gain from it
D)the quantity demanded at the price floor exceeds the quantity supplied
E)the unemployment level in the economy increases

When a Binding Price Floor Is Imposed on a Market