Question

Which of the following is the most likely explanation for the imposition of a price ceiling on the market for milk? a. Policymakers have studied the effects of the price ceiling carefully, and they recognize that the price ceiling is advantageous for society as a whole. b. Buyers and sellers of milk have agreed that the price ceiling is good for both of them and have therefore pressured policymakers into imposing the price ceiling. c. Buyers of milk, recognizing that the price ceiling is good for them, have pressured policymakers into imposing the price ceiling. d. Sellers of milk, recognizing that the price ceiling is good for them, have pressured policymakers into imposing the price ceiling.

Answer 1

Buyers of milk, recognizing that the price ceiling is good for them, have pressured policymakers into imposing the price ceiling.