Author Question: When a government imposes price controls, the result is that A) the rationing function of prices ... (Read 452 times)

NguyenJ · **on:** Jun 29, 2018

When a government imposes price controls, the result is that

A) the rationing function of prices is not allowed to function freely.
B) the price system operates more efficiently.
C) all trades are as mutually beneficial to each party as possible.
D) scarcity usually disappears.

Question 2

In a monopolistically competitive market, the consumer receives the benefit of

A) production at minimum average cost.
B) production where price equals marginal cost.
C) product differentiation.
D) allocative efficiency.