What statement about price floors is correct? A. price floors lower both supply and demand
B. price floors increase both supply and demand
C. price floors lower demand and increase supply
D. price floors increase demand and decrease supply

C. price floors lower demand and increase supply

Explanation:

"Price floors" are set by the government in order to prevent the prices of goods from going lower. This is meant to protect the sellers; thus, when this happens, more sellers are inclined to produce more products. This means that the supply increases. Since the product price is sometimes set more than the equilibrium price, the consumers are drawn away from buying the good and find alternative goods instead. So, this decreases the demand and creates a surplus.

the third answer is correct (c).

the laws that regulate the financing of political campaigns seek to guarantee the smoothness of funding so that there is no abuse of electoral economic power and to avoid the capture of future politicians by the donors.

this is because donor agents have their private interests that are not necessarily the same interests of the society that elected politicians must defend.

thus, interest groups should seek their interests within the legality of lobbying practices that are regulated.