If the government removes a binding price floor from a market, then the price re

Question

If the government removes a binding price floor from a market, then the price received by sellers will % decrease, and the quantity sold in the market will decrease 0 decrease, and the quantity sold in the market will increase Q increase, and the quantity sold in the market will decrease Q increase, and the quantity sold in the market will increase A price floor is binding when it is set Q above the equilibrium price, causing a shortage above the equilibrium price, causing a surplus below the equilibrium price causing a shortage below the equilibrium price, causing a surplus The imposition of a binding price floor on a market causes quantity demanded to be greater than quantity supplied less than quantity supplied equal to quantity supplied Both a) and b) are possible

Explanation / Answer

Question 5)

D

If price decrease so much the cieling would not be required

Question 6)

D

All above

Question 7)

D

All above scenarios might occur

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