Question: Suppose the equilibrium interest rate is 1 3 % , but the usury law prohibits charging more than 1 0 % . In this case,

Suppose the equilibrium interest rate is 13%, but the usury law prohibits charging more than 10%. In this case, the law:
Multiple choice question.
serves as a binding price floor.
serves as a binding price ceiling.
serves as a non-binding price ceiling.

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