Suppose a Price Ceiling Is Imposed Below the Undistorted Market

Multiple Choice

Suppose a price ceiling is imposed below the undistorted market equilibrium price.Which of the following is true?

A) The increase in the real price paid by consumers is larger the more price inelastic consumer demand is.
B) The increase in the real price paid by consumers is larger the more price inelastic the supply curve is.
C) The size of the reduction in market output depends only on the price elasticity of supply and not the price elasticity of demand.
D) Both (a) and (b) .
E) Both (a) and (c) .
F) Both (b) and (c) .
G) All of the above.
H) None of the above.