Question

Question 3:
The government has decided that the free market for the dairy product is too
low (2+2+2)
Suppose the government impose the binding price floor in the dairy product
market.
.
Draw the supply demand diagram to show the effect of this policy on the price of
dairy product and their quantity demanded. is there a shortage or surplus?
The producers of dairy product claim that price floor has reduced their total
revenue, is this possible? Explain
Government tends to peruse a new policy. Compared to the basic price floor, who
is the beneficiary and who are at lose?
.

Answer 1

Answer:

scan on Google you want a best and very good point and answer

Explanation:

so jao good night