The correct statement would be that the price ceiling on a product is the factor which does not determine or control the demand of a product. So, the correct option is C.
Price ceiling is kind of limit capped to the price of the consumer commodities in order to control a situation of emergency or to control the exploitation of the consumers.
Determinants of demand
- Demand of a product refers to the condition if the consumers are willing to buy the product at a particular price for a given period of time in a competitive market.
- Demand for a product is determined by various factors such as the price, substitutes, supply, time period, etc. demand may vary from consumer to consumer.
- Price ceiling is a condition where the government or such authorities put an upper cap on the price of essential services. e.g. Prices of masks and sanitizers were controlled during the virus outbreak.
Hence, the correct option is C, that the price ceiling is a non-price determinant of demand.
To know more about determinants of demand, click the link below.
https://brainly.com/question/9319453
