This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Explain how the market for apartments allocates the scarce supply of apartments near the city ... (Read 115 times)

dalyningkenk

  • Hero Member
  • *****
  • Posts: 598
on: Jun 29, 2018
Explain how the market for apartments allocates the scarce supply of apartments near the city center.
 
  What will be an ideal response?

Question 2

What does the supply curve tell us about the producer's minimum supply price?
 
  What will be an ideal response?


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

14vl19

  • Sr. Member
  • ****
  • Posts: 310
Reply #1 on: Jun 29, 2018
Answer to Question 1

The free market for apartments resolves the question of who gets to live in the best apartments. The rental price of apartments provides incentives that effectively allocate economic resources. As the price of downtown apartments rises, only workers with the highest opportunity cost of time will be willing to rent them. All other workers will prefer to move further away and accept the consequences of a longer commute.

Answer to Question 2

For any quantity, the vertical distance between the supply curve and the x-axis shows the minimum price that suppliers must receive to produce that quantity of output. As a result, the price is the marginal cost of the last unit produced at this level of output.


dalyningkenk

  • Member
  • Posts: 598
Reply 2 on: Jun 29, 2018
:D TYSM

kthug

  • Member
  • Posts: 332
Reply 3 on: Yesterday
Great answer, keep it coming :)

« previous next »
 

Did you know?

In the United States, there is a birth every 8 seconds, according to the U.S. Census Bureau's Population Clock.

Did you know?

Increased intake of vitamin D has been shown to reduce fractures up to 25% in older people.

Did you know?

Though “Krazy Glue” or “Super Glue” has the ability to seal small wounds, it is not recommended for this purpose since it contains many substances that should not enter the body through the skin, and may be harmful.

Did you know?

For about 100 years, scientists thought that peptic ulcers were caused by stress, spicy food, and alcohol. Later, researchers added stomach acid to the list of causes and began treating ulcers with antacids. Now it is known that peptic ulcers are predominantly caused by Helicobacter pylori, a spiral-shaped bacterium that normally exist in the stomach.

Did you know?

Bacteria have been found alive in a lake buried one half mile under ice in Antarctica.

Coronary circulation. (A) Coronary vessels portraying the complexity and extent of the coronary circ Coronary circulation. (A) Coronary vessels portraying the complexity and extent of the coronary circ
This painting depicts New Orleans in 1803, when the city was acquired—along with much of the modern This painting depicts New Orleans in 1803, when the city was acquired—along with much of the modern
Reconstruction Drawing of Trajan's Market Reconstruction Drawing of Trajan's Market
Percentage of Americans Living in Communities with a Fluoridated Water Supply, by State. 2012 Percentage of Americans Living in Communities with a Fluoridated Water Supply, by State. 2012
Blood Supply of the Liver Blood Supply of the Liver
Suppose a country imports televisions. The country's supply and demand curves are shown in ... Suppose a country imports televisions. The country's supply and demand curves are shown in ...
Video: Baroreceptor Reflex

For a complete list of videos, visit our video library