Which of the following would be the least likely result of a priceceiling imposed in the market for gasoline?

Question

Quizplus · Accepted Answer

A price ceiling is a government-imposed limit on how high a price can be charged for a good or service. If the price ceiling is set below the equilibrium price, it will create a shortage of the good in the market. However, the least likely result of a price ceiling is that competition in the market will be eliminated, as the price ceiling does not impact the number of sellers in the market. Therefore, choice D is the correct answer. Choices A, B, and C are all likely to occur as a result of a price ceiling on gasoline. Buyers will likely have to line up to buy gasoline as there will be a shortage, and some buyers may resort to bribes to secure their supply. Additionally, with a limited supply of gasoline, some buyers will not be able to purchase as much as they want.

Which of the Following Would Be the Least Likely Result