Question: In order for a price ceiling to bind, it a.must be set above the equilibrium price, and will likely cause a shortage. b.must be

In order for a price ceiling to “bind,” it 

a.must be set above the equilibrium price, and will likely cause a shortage.

 

b.must be set below the equilibrium price, and will likely cause a shortage.

 

c.must be set above the equilibrium price, and will likely cause a surplus.

 

d.must be set below the equilibrium price, and will likely cause a surplus.

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