Price floors tend to lead to... a) surpluses. b) slivers. c) shortages. d) elasticity of supply.

Price floors tend to lead to surpluses because when the government sets a minimum price for a good or service, it often exceeds the equilibrium price. Producers are encouraged to supply more of the good at this higher price, but consumers may not be willing to purchase as much, resulting in excess supply. This excess supply can cause problems in markets, particularly in agriculture, leading to wasted goods or the need for government intervention to purchase the surplus and stabilize prices. It’s a classic case of supply and demand dynamics in action!