Consider the market for gasoline. Buyers

a. would lobby for a price floor, whereas sellers would lobby for a price ceiling.

b. and sellers would lobby for a price ceiling.

c. and sellers would lobby for a price floor.

d. would lobby for a price ceiling, whereas sellers would lobby for a price floor.

d. would lobby for a price ceiling, whereas sellers would lobby for a price floor.

Explanation:

A price ceiling is the highest price set by the government on how high a seller can sell his products. A price ceiling stops a seller from selling his product beyond a certain price.

Price ceilings can discourage producers from producing goods that have price ceilings because it limits the amount of revenue they can earn. Buyers would want a price ceiling because its limits how high the price of a good or service can rise.

A price floor is the lowest price set by the government on the lowest price a good or service can be bought. A price floor limits how low a price can fall. Price floors are usually placed on agricultural products. Sellers would want a price floor because it limits how low revenue can be.

Price ceiling and price floor are types of price controls. Price controls can lead to deadweight loss in the economy because it leads inefficient allocation of goods and services.