If government set a maximum price of $45 in the above market:
A. a shortage of 21 units would arise.
B. a surplus of 21 units would arise.
C. a surplus of 40 units would arise.
D. it would create neither a shortage nor a surplus.
Answer: D
If government set a maximum price of $45 in the above market:
A. a shortage of 21 units would arise.
B. a surplus of 21 units would arise.
C. a surplus of 40 units would arise.
D. it would create neither a shortage nor a surplus.
Answer: D