Multiple Choice
Which of the following is a likely outcome of price controls and quota limits?
A) prices higher than the market equilibrium price
B) illegal activity as people invent ways to get around the market constraint
C) shortages and units of output that must be disposed of
D) shortages and inefficiency created by buyers searching for units of the good
Correct Answer:

Verified
Correct Answer:
Verified
Q8: Price controls are always set below the
Q87: One of the consequences of the minimum
Q102: Suppose Congress imposes a price ceiling of
Q136: If the government feels that a price
Q137: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB1063/.jpg" alt=" (Table: The Market
Q139: (Figure: Rent Controls) Look at the figure
Q139: One of the ways rent control is
Q140: Table: The Market for Taxi Rides<br> <img
Q143: Figure: The Market for Economics Textbooks<br>(Figure: The
Q156: The system of taxicab medallions in New