In the case of a binding price floor, the price paid in the market will be:
unable to be compared with the free market equilibrium price. greater than the free market equilibrium price. less than the free market equilibrium price. equal to the free market equilibrium price.
In the case of a binding price floor, the price paid in the market will be greater than the free market equilibrium price.
A binding price floor is set above the equilibrium price, which means that it prevents the price from falling to the equilibrium level where supply and demand would balance. As a result, the market price will be higher than the equilibrium price.