Which of the following statements correctly describe the effects of a binding price floor in a perfectly competitive market? Select all that apply.

A binding price floor is a minimum price set by the government that is higher than the market equilibrium price. When a price floor is in place, it means that sellers cannot sell their goods for less than this minimum price. This can lead to a surplus, where the quantity supplied exceeds the quantity demanded because consumers may not be willing to buy at the higher price. For example, if the government sets a price floor on wheat that is above the market price, farmers may produce more wheat than people are willing to buy, resulting in excess wheat that goes unsold. Overall, a binding price floor can disrupt the balance of supply and demand in the market.