Under a system of rent controls, landlords are more likely to
A) discriminate against middle aged tenants.
B) discriminate against students.
C) discriminate against wealthy tenants.
D) experience high vacancy rates.
E) maintain apartments in better condition.
B
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Suppose that expected profit decreases. This change means
A) the demand curve for loanable funds shifts leftward and the real interest rate falls. B) the supply curve for loanable funds shifts rightward and the nominal interest rate rises. C) there is a movement down along the demand curve for loanable funds. D) the real interest rate rises as saving increases.
The mechanism behind the inflation insulation provided by a floating exchange rate is
A) Purchasing Power Parity. B) a fixed AA curve. C) market speculation. D) tight monetary policy. E) symmetry.