In the United States, the income distribution is shaped like a:

If a 6 percent decrease in the price leads to a 5 percent increase in the quantity demanded, the price elasticity of demand is

A) 0.30. B) 0.60. C) 0.83. D) 1.20.

In the above figure, a rent ceiling of $300 per month would

A) not affect the equilibrium quantity. B) result in a surplus of 7000 units. C) result in a shortage of 7000 units. D) result in a shortage of 2000 units.