A regulation that sets the highest price at which it is legal to trade a particular good, service, or factor of production is
A.an equilibrium price.
B.a peak price.
C.a price floor.
D.a sticky price.
E.a price ceiling.
Option E
A price floor is a price where trading above it is not legal, and this is effective if the price set below the equilibrium price.
An equilibrium price is a price where the market clears itself.
A peak price is the highest price increase in the highest demand time
The price floor is a minimum price can a company or producer charge, and it is effective if it set above the equilibrium price
A sticky price is a condition of the market where prices do not change immediately
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