Suppose at the current price, the demand for copper is estimated at -3.14. What happens to...

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Suppose at the current price, the demand for copper is estimated at -3.14. What happens to sales revenue if the government im

business economics

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Answer 1

Answer #1

The correct option is Sales revenue falls.

A price ceiling below the equilibrium price is binding. Due to this price and quantity sold in the market falls. As a result sales revenue of the producer will also fall down.

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Answer 2

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Suppose at the current price, the demand for copper is estimated at -3.14. What happens to...

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