Question
What causes a deadweight loss under a price floor? a.Consumers have more incentive to buy b.With a higher price, less is purchased, causing a loss
What causes a deadweight loss under a price floor?
a.Consumers have more incentive to buy
b.With a higher price, less is purchased, causing a loss in economic surplus
c.Producers have less incentive to produce
d.With a lower price, less is produced, causing a loss in economic surplus
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Macroeconomics
Authors: Charles I. Jones
3rd edition
978-0393123944, 393123944, 393923908, 978-0393923902
