Suppose the government has imposed a price ceiling on laptop computers.Which of the following events could transform the price ceiling from one that is not binding into one that is binding?
A) Improvements in production technology reduce the costs of producing laptop computers.
B) The number of firms selling laptop computers decreases.
C) Consumers' income decreases,and laptop computers are a normal good.
D) The number of consumers buying laptop computers decreases.
Correct Answer:
Verified
Q6: A price ceiling is
A)often imposed on markets
Q7: Which of the following is not a
Q8: A price ceiling is binding when it
Q9: If the government removes a binding price
Q10: A price ceiling will be binding only
Q12: When a binding price ceiling is imposed
Q13: If a price ceiling is not binding,then
A)the
Q14: If the government removes a binding price
Q15: Which of the following observations would be
Q16: Which of the following is the most
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