When a government mandate sets the rental price of an apartment below the market clearing level, which of the following result?
A) More apartments are rented.
B) Landlords attempt to make up for the lower rental income by charging more for security deposits and cleaning fees.
C) Landlords discriminate less.
D) Landlords address their tenant's requests in a more prompt manner.
B
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Suppose the equilibrium price of bottled water has risen from $1.00 per bottle to $2.00 per bottle and the equilibrium quantity has increased. These changes are a result of a ________ shift of the ________ curve for bottled water
A) rightward; demand B) rightward; supply C) leftward; supply D) leftward; demand
Michael consumes only steak and lobster. Suppose that the price of steak rises. After Michael is back at equilibrium, compared to the situation when steak was cheaper, the marginal utility from the last steak will
A) have increased. B) not have changed. C) have decreased. D) not be comparable with the marginal utility before the price hike.