When a binding price ceiling is imposed on a market to benefit buyers,
A)no buyers actually benefit.
B)some buyers benefit,but no buyers are harmed.
C)some buyers benefit,and some buyers are harmed.
D)all buyers benefit.

Question

Quizplus · Accepted Answer

When a binding price ceiling is imposed, some buyers may benefit from the lower price, but the quantity demanded will exceed the quantity supplied, leading to a shortage. This shortage means that not all buyers who want to buy the good can do so, so some buyers are harmed by being unable to purchase the good. Therefore, some buyers benefit, and some buyers are harmed.

When a Binding Price Ceiling Is Imposed on a Market