Author Question: Suppose the market clearing rent is 500 per month, but a rent control is established at 400 per ... (Read 143 times)

saraeharris · **on:** Jun 29, 2018

Suppose the market clearing rent is 500 per month, but a rent control is established at 400 per month. Which is most likely to emerge?

A) The demand for apartments would increase.
B) The supply of apartments would increase.
C) The scarcity of apartments would decrease.
D) The quantity of apartments demanded would exceed quantity supplied.

Question 2

Which of the following is NOT held constant while moving along a supply curve?

A) expected future prices
B) the number of sellers
C) the price of the good itself
D) prices of factors of production