Price gouging laws will usually result in ________ the product in the distressed market.
A) more supply of
B) more local business start-ups to supply
C) government setting up an agency to regulate supply of
D) more Craigslist postings for
E) more demand than supply of

Question

Quizplus · Accepted Answer

Price gouging laws set price ceilings, which means that prices cannot rise above a certain level. This results in more demand than supply of the product in the distressed market, as the sellers are unable to charge a price that reflects the true market value.

Price Gouging Laws Will Usually Result in ________ the Product