A binding price ceiling is designed to:
Understand the Problem
The question is asking about the purpose of a binding price ceiling, which is an economic concept used to understand how price controls work in markets. A binding price ceiling is set below the market equilibrium price and impacts the supply and demand by limiting how high a price can go.
Answer
keep the price below the equilibrium price
The final answer is to keep the price below the equilibrium price
Answer for screen readers
The final answer is to keep the price below the equilibrium price
More Information
A binding price ceiling is a government-imposed limit on how high a price can be charged for a product or service, and it must be set below the equilibrium price to be effective.
Sources
- Micro Chapter 4 Quiz - Quizlet - quizlet.com
- Solved: A binding price ceiling is usually designed to:keep - Chegg - chegg.com
- A binding price ceiling is designed to: a. increase efficiency. b. keep - Homework.Study.com - homework.study.com
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