The persistent unwanted surplus that results from a binding price floor causes inefficiencies that do NOT include:

A) inefficiently low quality.
B) inefficient allocation of sales among sellers.
C) wasted resources.
D) the temptation to break the law by selling below the legal price.

Binding Price Floor

A minimum price set by the government for certain goods and services that is above the equilibrium price, causing a surplus.

Unwanted Surplus

An excess of goods that exceeds consumer demand, leading to unsold stock and potential waste.

Inefficiencies

Refers to situations where resources are not used in the most effective way, leading to waste or lost potential benefit.