Figure 6-32
-Refer to Figure 6-32.Which of the following statements is NOT accurate regarding the situation reflected by this diagram?

Question

​Figure 6-32 
-Refer to Figure 6-32.Which of the following statements is NOT accurate regarding the situation reflected by this diagram?

Quizplus · Accepted Answer

The statement "the price will reflect the scarcity of the good when a price floor is imposed at a price of $14" is not accurate as a price floor above the equilibrium price results in a surplus of the good, not scarcity. The other statements are accurate as a price ceiling below the equilibrium price results in scarcity and a price ceiling above the equilibrium price has no effect on scarcity. Likewise, a price floor below the equilibrium price has no effect on scarcity.

​Figure 6-32 -Refer to Figure 6-32.Which of the Following Statements Is NOT

Figure 6-32 -Refer to Figure 6-32.Which of the Following Statements Is NOT