The Fact That Landlords Are Able to Pass the Majority,but

question 107

Multiple Choice

The fact that landlords are able to pass the majority,but not all,of the burden of property taxes on to renters suggests that the price elasticity of demand for apartments is

• A)Elastic.
• B)Inelastic.
• C)Perfectly elastic.
• D)Perfectly inelastic.

---

Definitions:

Rent

A periodic payment made by a lessee to a lessor for the use of land, buildings, or other property.

Supply

The total amount of a specific good or service that is available to consumers at current prices.

Supply Curve

A graphical representation showing the relationship between the price of a good and the quantity of the good that suppliers are willing to sell.

Inelastic

Describing a situation in which the demand or supply of a good or service is relatively unresponsive to changes in price.