The above figure illustrates Mary's production possibilities frontier. Which of the following movements show opportunity costs increasing?

The figure above shows a firm in a perfectly competitive market. If the price rises from P3 to P4 then output will increase by

A) 0 units. B) 1 unit. C) 2 units. D) 3 units.

Rent control applies to about two-thirds of the private rental housing in New York City. Economic theory suggests that a below-equilibrium price established by rent control:

a. creates a surplus of rental housing. b. promotes a rapid increase in the future supply of housing. c. results in poor service and quality deterioration of many rental units. d. leads to a reduction in housing discrimination against minorities.