Explain how both renters and landlords could be either winners or losers with the imposition of rent control
What will be an ideal response?
With rent control, those renters who are able to obtain a rent-controlled apartment will win by paying a rent which is below the equilibrium rent. Those renters who are not able to obtain an apartment due to the shortage created by rent control will lose. Landlords who abide by the rent control will lose by receiving less than the equilibrium rent. Landlords who do not abide by the rent control can win by charging a rent that is higher than the controlled rent.
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Which of the following events would cause an upward movement along the demand curve for olives? a. The number of people who purchase olives decreases
b. Consumer income decreases, and olives are a normal good. c. The price of pickles decreases, and pickles are a substitute for olives. d. The price of olives rises.
Because of a late night out with friends, Ayana decided to sleep in rather than attend her 8 a.m. economics class. According to economic analysis, her choice was
a. irrational, because economic analysis suggests you should always attend classes that you have already paid for. b. irrational, because oversleeping is not in Ayana's self-interest. c. rational only if Ayana has not missed any other classes. d. rational if Ayana values sleep more highly than the benefit she expects to receive from attending the class.
About one out of every ________ white children under the age of 18 is poor.
Fill in the blank(s) with the appropriate word(s).
Because of the relationship among ethanol production, sugar, and corn the authors of your text have concluded that:
a. the corn subsidy is a big problem for ethanol exports. b. the sugar quota makes sugar so cheap in the United States that ethanol producers are using it instead of corn. c. due to the sugar quota and its high price, there is a huge demand for less environmentally friendly corn as a substitute in food products and for ethanol. d. ethanol should be imported rather than exported.