If a Rent Ceiling Imposed by the Government Is Greater

question 30

Multiple Choice

If a rent ceiling imposed by the government is greater than the equilibrium rent for housing,then

• A)the supply of rental housing will increase.
• B)a shortage of housing will occur.
• C)a surplus of housing will occur.
• D)the equilibrium rent will prevail as long as all else remains constant.
• E)the equilibrium rent will rise.

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Definitions:

Standard Normal

A type of normal distribution with a mean of zero and a standard deviation of one, used as a reference to determine probabilities of a normal random variable.

Standard Deviation

A measure of the amount of variation or dispersion in a set of values, indicating how much the values diverge from the mean.

Normal Distribution

A type of continuous probability distribution for a real-valued random variable, characterized by a bell-shaped curve, symmetrical around its mean.

Variance

A measure of the dispersion indicating how much the numbers in a data set differ from the mean of the set.