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The government has decided that the free market price of cheese is too low. a. Suppose the government imposes a binding price floor in the

The government has decided that the free market price of cheese is too low. a. Suppose the government imposes a binding price floor in the cheese market. Draw a supply and-demand diagram to show the effect of this policy on the price of cheese and the quantity of cheese sold. Is there a shortage or surplus of cheese? b. Farmers complain that the price floor has reduced their total revenue. Is this possible.Explain?

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