If the Demand for Housing Increases and the Supply of Housing

question 152

Multiple Choice

If the demand for housing increases and the supply of housing decreases:

• A) price will go up and quantity will go down.
• B) price and quantity will both go up.
• C) price will increase, but the quantity change is indeterminate.
• D) the quantity will be higher, but the change in price is indeterminate.

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Definitions:

Proportion

A statistical measure that reflects the fraction or percentage of the total number of cases that fall within a particular category.

Statistic

A characteristic or measure obtained from a sample of data to estimate a population parameter.

Sampling Distribution

The likelihood distribution of a statistic, achieved by drawing numerous samples from a certain population.

Spread

In statistics, it refers to the range of a data set, which shows the extent to which numerical values differ from each other.