Final answer:
Setting a minimum price of $5 per apple would create a price floor, leading to a surplus of apples. The policy may be motivated by the goal of supporting apple producers and ensuring their income is fair.
Step-by-step explanation:
If the government set a minimum price of $5 per apple in the market, it would create a price floor. A price floor is set above the equilibrium price, which is the price determined by supply and demand.
In this case, the minimum price of $5 per apple is likely higher than the equilibrium price, so it would lead to a surplus of apples as the quantity supplied exceeds the quantity demanded.
This policy might be motivated by the goal of supporting apple producers and ensuring they receive a fair income.
By setting a minimum price, the government aims to protect the producers from low market prices that may not cover their production costs or provide enough profit. It also helps to maintain a stable supply of apples in the market.