A Rent Ceiling on Housing Creates a Problem of Allocating

question 148

Multiple Choice

A rent ceiling on housing creates a problem of allocating the available housing units because

• A) the demand for housing decreases and the demand curve shifts leftward.
• B) the supply of housing increases and the supply curve shifts rightward.
• C) a shortage of apartments occurs.
• D) a surplus of apartments occurs.
• E) it eliminates search, which is one of the major ways housing units are allocated.

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Definitions:

High-low Method

A technique used to estimate fixed and variable components of costs by analyzing the highest and lowest levels of activity.

Utilities Cost

The expenses incurred for utilities consumed by a business, such as electricity, water, and gas.

Administrative Expense

Costs related to the general management and administration of a company, not directly tied to any specific department or product.

Cost Described

A term that could refer to the detailed explanation or breakdown of the expenses associated with a particular object, activity, or project. If this term is assumed not standard, answer would be NO.