In a free market for rental housing, the average rental rate
A. includes a large amount of economic rent.
B. includes zero economic rent.
C. is entirely economic rent, since rental housing is fixed in supply.
D. includes some economic rent.
Answer: D
Economics
You might also like to view...
A rational consumer will cease purchasing a product at that quantity where marginal utility begins to diminish.
a. true b. false
Economics
Is a monopolistically competitive firm allocatively efficient?
A) No, because it does not produce at minimum average total cost. B) Yes, because price equals average total cost. C) No, because price is greater than marginal cost. D) Yes, because it produces where marginal cost equals marginal revenue.
Economics