Rent controls tend to cause persistent imbalances in the market for housing because
a. Quantity demanded exceeds quantity supplied but price cannot rise to remove the shortage.
b. Quantity demanded exceeds quantity supplied but price cannot fall to remove the surplus.
c. Quantity supplied exceeds quantity demanded but price cannot rise to remove the shortage.
d. Quantity supplied exceeds quantity demanded but price cannot fall to remove the surplus.
a. Quantity demanded exceeds quantity supplied but price cannot rise to remove the shortage.
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An economic ________ is a simplified version of some aspect of economic life used to analyze an economic issue
A) variable B) model C) market D) trade-off
The regional Federal Reserve bank presidents are:
A. are responsible for regulatory oversight and implementation of monetary policy of regional banks. B. allowed to serve no more than two consecutive four-year terms. C. directly affiliated with other governmental agencies. D. selected by the Federal Reserve Board of Directors.
Tight monetary policy raises the real interest rate, which ________ the demand for dollars, ________ the supply of dollars, and ________ the equilibrium value of the dollar.
A. decreases; decreases; decreases B. increases; increases; increases C. decreases; increases; increases D. increases; decreases; increases
All of the following statements are correct, except that the firm has:
The following table shows the short-run total cost data for a firm.
A. Economies of scale
B. Fixed costs of $80
C. Constant marginal cost
D. An average fixed cost of $20 at 4 units of output