Government sets binding maximum price

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Reference no: EM131112894

Suppose given ceteris paribus, a government sets a binding maximum price of $5 per bushel in a market for Soya beans, which of the following will not occur in the market?

(A) The price will be set above the market equilibrium price

(B) Consumer surplus will expand in the market

(D) The market will experience a shortage of soya beans

Reference no: EM131112894

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