After an earthquake disrupts the supply of clean drinking water to many residents of a city, the city restricts grocery stores from raising the prices they charge for bottled water. If no side markets arise, which of the following statements is true?
1) The law restricting a price increase will exacerbate the water shortage (or "excess demand").
2) Water will be allocated to the consumers with the highest willingness to pay for it.
3) Water will be allocated to the consumers who need it most.
Answers (1)
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “After an earthquake disrupts the supply of clean drinking water to many residents of a city, the city restricts grocery stores from raising ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers
You Might be Interested in
Days' cash on hand Financial statement data for years ending December 31 for Newton Company follow: 20Y9 20Y8 Cash (end of year) $25,500 $24,250 Short-term investments (end of year) 8,270 9,460 Operating expenses 60,135 63,780 Depreciation expense
Answers (1)
Olav owns precision painting, a sole proprietorship. olav's liability is
Answers (1)
In a certain economy in 2005, households spent $1,000 on goods and services; purchases of capital equipment, inventories, and structures amounted to $350; government spent $450 on goods and services;
Answers (1)
The tobler company has budgeted production for next year by quarter as follow: Quarter first second third fourth Units 10,000 12,000 16,000 14,000 Four pounds of raw materials are required for each unit produced.
Answers (1)
Toby's current marginal utility from consuming peanuts is 100 utils per ounce and his marginal utility from consuming cashews is 200 utils per ounce.
Answers (1)
New Questions in Business
X Corp. realizes the market trends are changing and it needs to come up with a new product. Managers at X Corp. are using the rational decision-making process.
Answers (1)
Elise recently quit her job at a well-known insurance company and started a home-based business preparing medical transcriptions for doctors. Based on recent statistics, she can expectA.
Answers (1)
CornProducts Corp. ended the year 2018 with an average collection period of 40 days. The firm's credit sales for 2018 were $9 million. What is the approximate year-end 2018 balance in accounts receivable for Corn Products?
Answers (1)
Claire provide $100 of services to customers on account with terms 2/10, n/30. The Service Revenue account is credited for $100.
Answers (1)
Which of these describes a composite stock index? Industrial, whole-market, combination, simple
Answers (1)