Solved

If the Intended Aim of the Price Floor Set at $12

Question 62

Multiple Choice

  If the intended aim of the price floor set at $12, as shown in the graph, was a net increase in the well-being of producers, then positive analysis would consider the policy to be: A)  effective if area C is larger than area E. B)  effective if areas E + B are larger than areas C + D + F. C)  ineffective if area B is larger than area E. D)  ineffective if areas E + B are larger than areas A + C + D + F. If the intended aim of the price floor set at $12, as shown in the graph, was a net increase in the well-being of producers, then positive analysis would consider the policy to be:


A) effective if area C is larger than area E.
B) effective if areas E + B are larger than areas C + D + F.
C) ineffective if area B is larger than area E.
D) ineffective if areas E + B are larger than areas A + C + D + F.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents