One consequence of rent ceilings set below the equilibrium rent is that

A) a surplus of housing units develops.
B) renters are no longer exploited by landlords.
C) it makes the long-run housing supply more elastic.
D) search costs for housing increase.

D

Economics

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People complain that inflation increases the cost of goods and services and therefore reduces their purchasing power. If inflation and income grow at the same rate, is this complaint valid? Explain carefully

What will be an ideal response?

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Which model highlights the effects of market power obtained from product differentiation?

a. The contestable market model. b. The Cournot model of oligopoly. c. The Bertrand model of oligopoly. d. The monopolistic competition model.

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