1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
zmey [24]
2 years ago
13

Review Question 1 What is meant by deadweight​ loss? Why does a price ceiling usually result in a deadweight​ loss? Deadweig

ht loss is a​ _____________________. A price ceiling results in a deadweight loss when the ceiling price is set​ ________________ the market clearing price. A. net loss in​ output; above B. net loss of consumer and producer​ surplus; below C. net loss in​ output; below D. net loss of consumer and producer​ surplus; above Click to select your answer and then click Check Answer. All parts showing
Business
1 answer:
KiRa [710]2 years ago
8 0

Answer:

b

Explanation:

Price ceiling is when the government or an agency of the government sets the maximum price for a product. It is binding when it is set below equilibrium price.

Effects of a binding price ceiling

1. It leads to shortages

2. it leads to the development of black markets

3. it prevents producers from raising price beyond a certain price

4. It lowers the price consumers pay for a product.  

The dead weight loss is the reduction in total surplus as a result of price setting. When price is set below equilibrium price, less goods are produced and consumed. This leads to a reduction in consumer and producer surplus

Consumer surplus is the difference between the willingness to pay of a consumer and the price of the good.

Producer surplus is the difference between the price of a good and the least price the seller is willing to sell the product

You might be interested in
you produce video games. it costs you $35 to make each game. You want to charge at least _______ to cover your costs.
taurus [48]
$40 you want to charge enough to pay for them and make a profit.

6 0
2 years ago
Mountaintop golf course is planning for the coming season. Investors would like to earn a​ 12% return on the​ company's $45 mill
Nookie1986 [14]

Answer:

The correct option is B

Explanation:

The return on assets would be:

Return on assets (ROA)= Assets × Return

                                      = $45,000,000 × 12%

                                     = $5,400,000

Return per customer = ROA / Number of golfers

                                  = $5,400,000 / 400,000

                                  = $13.50

Fixed Cost per Customer = Fixed Cost / Number of golfers

                                          = $20,000,000 / 400,000

                                         = $50

Cost to be charged per customer = Profit + Fixed Cost + Variable Cost

                                                        = $13.50 + $50 + $15

                                                        = $78.50

8 0
2 years ago
In addition to the consumer product safety commission, the two federal agencies that play the most active role in protecting the
Ad libitum [116K]

In addition to the consumer product safety commission, the two federal agencies that play the most active role in protecting the public from unsafe products are the Treasury Department, the Commerce Department, and the Office of the U.S. Trade Representative.

The U.S. Consumer Product Safety Commission is an independent federal regulatory agency that was created by Congress in the Consumer Product Safety Act. The Consumer Product Safety Commission protects the public from unreasonable risks of serious injury or death from thousands of types of consumer products under its jurisdiction, including products that pose a fire, electrical, chemical, or mechanical hazard or can injure children.

Enforcing standards and issuing recalls or repair orders when necessary. Conducting independent research on potential hazards. Responding to consumer inquiries and complaints regarding specific products.

Learn more about federal agencies there:- brainly.com/question/9354369

#SPJ4

5 0
10 months ago
The natural rate of unemployment:_______. a. means that the economy will always operate at that rate. b. is equal to the total o
blsea [12.9K]

Answer:

B. is equal to the total of frictional and structural unemployment.

Explanation:

The natural rate of unemployment is the sum of frictional and structural unemployment at any given time. Economists estimate that for the United States this rate is around 3.5%.

Unemployment has a natural rate because no matter how good the economy is doing, some people either do not want to work, are in between jobs (frictional unemployemt), or lack the skills necessary to get employed and need to undergo training (structural unemployment).

3 0
2 years ago
A factor favoring the success of disruptive innovation is that:________.
ankoles [38]

Answer:

A) incumbent firms are slow to change.

Explanation:

This business model type is said to be low cost and also can be seen and tested to be highly accessible to buyers and others goods in the market. Disruptive innovation is a business model that deals with the introduction of a new product or service into a market, at a lower cost and affordable that other products or its competitors, hereby luring prospective or buyers to buying the new product; displacing the leaders or top performers in the market. Disruptive innovation is highly favoured because the incumbent firms are slow to change.

8 0
3 years ago
Other questions:
  • In the past, how have you approached problems that you received with little or inadequate instruction/guidance?
    8·2 answers
  • Should senior citizens, students, and children be allowed to pay cheaper prices for goods and services
    10·1 answer
  • As discussed in your textbook, the list of calls for police service in long beach, california, shows which type of call for serv
    9·1 answer
  • Unsubsidized Stafford Loans:
    8·1 answer
  • Cashier's checks are generally required for
    8·1 answer
  • In what ways do goals and objectives help managers control the organization?
    5·1 answer
  • which of the following statements about entrepreneurs is false? A. Entrepreneurs try to solve problems by using new products B.
    14·2 answers
  • Which statements describe headings?
    7·1 answer
  • Mua áo thể thao, tìm hiểu được 3 mẫu áo trên thị trường.
    6·1 answer
  • Bill and Jane Jones were divorced on January 1, 2018. They have no children. In accordance with the divorce decree, Bill transfe
    5·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!