Figure: The Market for Butter
(Figure: The Market for Butter) Look at the figure The Market for Butter.The figure represents a competitive market for butter.If a government price floor at $1.40 is imposed on this market, an inefficiency will result in the form of a:
A.surplus of 4.5 million pounds of butter.
B.surplus of 6.0 million pounds of butter.
C.shortage of 6.0 million pounds of butter.
D.shortage of 4.5.million pounds of butter.

Question

Figure: The Market for Butter
   (Figure: The Market for Butter) Look at the figure The Market for Butter.The figure represents a competitive market for butter.If a government price floor at $1.40 is imposed on this market, an inefficiency will result in the form of a: 
A.surplus of 4.5 million pounds of butter.
B.surplus of 6.0 million pounds of butter.
C.shortage of 6.0 million pounds of butter.
D.shortage of 4.5.million pounds of butter.

Quizplus · Accepted Answer

The Answer of Figure: The Market for Butter
   (Figure: The Market for Butter) Look at the figure The Market for Butter.The figure represents a competitive market for butter.If a government price floor at $1.40 is imposed on this market, an inefficiency will result in the form of a: 
A.surplus of 4.5 million pounds of butter.
B.surplus of 6.0 million pounds of butter.
C.shortage of 6.0 million pounds of butter.
D.shortage of 4.5.million pounds of butter.

Figure: the Market for Butter