If a seller facing excess demand is unable to raise the price of the good due to a price ceiling, the seller might:
A) increase the quantity supplied of the product.
B) decrease the price of the product.
C) increase the quality of the product.
D) decrease the level of service for that product.

Question

Quizplus · Accepted Answer

When a price ceiling prevents a seller from raising prices despite excess demand, they might reduce the level of service to cut costs and maintain profitability.

If a Seller Facing Excess Demand Is Unable to Raise