b. managing people’s expectations.
c. implementing controls on the price of rice.d. rationing rice.13. TRUE or FALSE Governments intervening in the rice markets will likely prevent another rice fiasco.14. A price ceiling on avocados would have the effects of a. lowering the price of avocados and causing a shortage.b. lowering the price of avocados and causing a surplus.c. raising the price of avocados and causing a shortage.d. raising the price of avocados and causing a surplus.15. TRUE or FALSE Economists are generally not in favor of price controls.16. Which of the following is the most likely explanation for the imposition of a price floor on the market for corn?a. Policymakers have studied the effects of the price floor carefully, and they recognize that the price floor isadvantageous for society as a whole.b. Buyers and sellers of corn have agreed that the price floor is good for both of them and have therefore pressuredpolicy makers into imposing the price floor.c. Buyers of corn, recognizing that the price floor is good for them, have pressured policymakers into imposing theprice floor.d. Sellers of corn, recognizing that the price floor is good for them, have pressured policymakers into imposing theprice floor.__________________________________________________________________________________________________17.
Refer to the graph
Refer to the graph above
. For a price ceiling to be effective in this market, it would have to be set ata. any price below $10.b. a price between $6 and $10.c. a price between $10 and $16.d. any price above $10.___________________________________________________________________________________________________19. The minimum wage is an example of aa. price ceiling.b. price floor.c. wage subsidy.d. tax.20. A minimum wage that is set above a market's equilibrium wage will result in an excessa. demand for labor, that is, unemployment.b. demand for labor, that is, a shortage of workers.c. supply of labor, that is, unemployment.d. supply of labor, that is, a shortage of workers.21. TRUE or FALSE Economists agree that economic growth is destroying the world.
DemandSupply2 4 6 8 10 12 14 16 18 20
Which of the following statements is not correct?a. When the price is $10, quantity supplied equals quantitydemanded.b. When the price is $6, there is a surplus of 8 units.c. When the price is $12, there is a surplus of 4 units.d. When the price is $16, quantity supplied exceeds quantitydemanded by 12 units.