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What Has Usually Been the Effect of Imposing Government Price

Question 14

Multiple Choice

What has usually been the effect of imposing government price controls on basic foods?


A) It serves as a disincentive to rural production of those foods
B) It raises the price of non-basic foods
C) It frequently leads to urban rioting
D) It allows the government to collect more taxes in the countryside
E) It helps stimulate food production in times of drought or other natural disasters

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