Assuming That the Long-Run Supply of Housing Is More ________

question 106

Multiple Choice

Assuming that the long-run supply of housing is more ________ than the short-run supply,the imposition of binding rent controls will generally ________.

• A)inelastic; lead to a reduction in the housing shortage over time
• B)elastic; lead to a worsening of the housing shortage over time
• C)inelastic; lead to no significant change in the housing shortage
• D)elastic; lead to only a temporary housing shortage
• E)elastic; lead the price of rental housing to revert back to its equilibrium level

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Definitions:

Carry

In finance, it refers to the profit or loss from holding an investment over a period of time, not including its price changes.

AUM

Assets Under Management, which refers to the total market value of the investments that a person or entity manages on behalf of clients.

Hedge Fund Fees

The charges that hedge funds impose on their investors, typically comprising a management fee and a performance fee.

Carry

In finance, the cost or benefit associated with holding a financial position, such as the interest expense on borrowed funds or the yield earned on deposits.