what-is-the-primary-difference-in-the-effects-of-price-ceilings-and-floors-on-ma

Question

What is the primary difference in the effects of price ceilings and floors on market equilibrium?

Accepted Answer

Price ceilings lead to shortages, while price floors lead to surpluses.

Answer

Both price ceilings and floors lead to increased trade quantities.

Answer

Both price ceilings and floors have no effect on market equilibrium.

Answer

Price ceilings lead to surpluses, while price floors lead to shortages.